Hike in commercial property values, introduced through the long-pending third municipal valuation committee’s report, accepted by the SDMC in February, may be rolled back following a private resolution passed by the House on Friday.
The move could lead to a loss of revenue of up to ₹80 crore to the corporation, a senior official said.
The Municipal Valuation Committee recommends how the value of a property should be calculated depending on which annual property tax to be charged. The recommendations of the third MVC were delayed for seven years while multiple sub-committees were formed to look into different recommendations and conduct public hearings.
Leader of the House, Kamaljeet Sherawat, who moved the resolution said, “After implementing the recommendations, we realised that the hike in tax for certain properties would be way higher than anticipated.” There was a difference in understanding between “theory and practice”, she said, adding that several market associations had petitioned SDMC on the same. The recommendations will be reconsidered and introduced next year, she said.