Civic budget ’23-24: MCD passes schedule of taxes

According to section 109 of the Delhi Municipal Corporation Act, various municipal taxes, rates and cesses levied during the year 2023-24 were to be approved by the corporation on or before February 15

New Delhi Municipal Corporation of Delhi special officer Ashwini Kumar on Wednesday approved the schedule of taxes that will be applicable for the next financial year. A senior MCD official said the taxes, rates and cesses leviable in the year 2023-24 will continue to remain the same as the current financial year.

The Delhi Civic Centre. (PTI Photo)

Kumar has also rejected municipal commissioner Gyanesh Bharti’s proposal to impose a new professional tax on traders and professions.

According to section 109 of the Delhi Municipal Corporation (DMC) Act, various municipal taxes, rates and cesses levied during the year 2023-24 are to be approved by the corporation on or before February 15. However, till the mayor is elected, the special officer continues to hold the powers of elected wing.

The MCD held three meetings to elect a mayor -- on January 6 and 24 and February 6 -- but all three were unsuccessful.

An MCD official said that since the elected councillors have taken oath, only the tax schedule has been passed by the special officer. “Rest of the budget proposals have been left for the deliberations by the elected house. As per the DMC Act provisions, these will have to be finalized before March 31. If a mayor election is held in coming days, the newly constituted house can discuss the proposals and clear them,” the official said.

A senior official from the property tax department said that at present, war widows, gallantry award winners in defence forces, police and paramilitary forces and the civilians who have received bravery awards are entitled for tax exemption. “It has now been decided that if such property is jointly owned, then the spouse of the above said persons will also be exempted from the property tax in regard to such property in the joint ownership. This exemption will apply with immediate effect,” the official said.

On December 8, 2022, municipal commissioner Gyanesh Bharti presented the budget proposal of ₹16,023 crore for 2023-24--with over a quarter of the expenses proposed for sanitation--to the special officer. A senior official of the finance department explained that the MCD budgetary process starts in December with the municipal commissioner presenting the budget proposal for next financial year and revised estimates for the ongoing financial year before the standing committee.