MC nets record ₹61 crore property tax in rebate window

Chandigarh: The municipal corporation, Chandigarh, has collected a record Rs 61 crore in property tax during the two-month rebate period (April–May), the highest ever for this window. The rebate scheme ended on May 31.

Taxpayers who missed the deadline will now have to pay a 25% penalty along with 12% interest on the due amount.

Of the total collection, Rs 37.21 crore came from commercial properties and Rs 23.79 crore from residential units, according to MC records. In the corresponding period last year (2025), the civic body had collected Rs 59.94 crore.

Out of around 1.5 lakh property taxpayers in the city, 74,142 paid their dues during the rebate period, up from 65,491 last year. The taxpayer base comprises nearly 30,000 commercial properties and about 1.2 lakh residential units.

“Though fewer in number, commercial properties contribute a higher share of tax as they are categorised zone- and sector-wise based on their commercial value,” sources said.

During the rebate period, residential property owners were offered a 20% rebate, while commercial property owners received a 10% concession.

With a target of around Rs 90 crore in property tax collection for the 2026-27 financial year, the Rs 61 crore collected in the first two months provides a significant boost to MC revenues.

Action plan for defaulters

The MC’s tax branch will now compile data of defaulters and begin issuing notices in the coming months. Officials said defaulters will be given an opportunity to clear dues, failing which strict action may follow, including sealing of properties. The sealing provision applies only to commercial properties.

Defaulters Now Face 25% Penalty, 12% Interest

Total collection (Apr–May): ₹61 crore (highest ever)

Commercial properties: ₹37.21 crore

Residential properties: ₹23.79 crore

Taxpayers who paid: 74,142

Total taxpayers: 1.5 lakh

Last year (2025) collection: ₹59.94 crore