Chandigarh Implements New Property Tax Rates, Residential Tax Tripled
Ramesh Goyat
Chandigarh, March 31 – The Chandigarh Administration's Local Government and Urban Development Department has officially notified the revised property tax rates for the financial year 2025-26. The Chandigarh Municipal Corporation will be responsible for collecting the tax under the new structure.
Revised Property Tax Rates
Commercial, Industrial, and Institutional Properties
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Commercial and industrial properties: Tax levied at 6% of the annual rateable value (ARV).
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Group V properties and those under the service charge category: Tax at 3% of ARV.
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Government buildings: Exempt from property tax but subject to a service charge of 75% of the applicable tax.
Residential Properties – Threefold Increase
The tax rates for residential properties have been tripled for the financial year 2025-26. The revised rates are as follows:
| Zone |
Sector |
Old Rate |
New Rate (2025-26) |
| I |
1-19, 26, 26(E), 27 & 28 |
₹2.5/sq yd (vacant plot) + ₹1.25/sq ft (built-up area) |
₹7.5/sq yd (vacant plot) + ₹3.75/sq ft (built-up area) |
| II |
20-38, 38(W), Modern Housing Complex, Manimajra, Shivalik Enclave, Industrial Area Phase I & II, All SCFs |
₹2.0/sq yd (vacant plot) + ₹1.0/sq ft (built-up area) |
₹6.0/sq yd (vacant plot) + ₹3.0/sq ft (built-up area) |
| III |
39-56, 61 & 63, Others |
₹1.5/sq yd (vacant plot) + ₹0.75/sq ft (built-up area) |
₹4.5/sq yd (vacant plot) + ₹2.25/sq ft (built-up area) |
| CHB Flats, Cooperative Housing Societies & Residential Flats (500 sq. ft. and above) |
Across municipal limits |
₹1.0/sq ft |
₹3.0/sq ft |
Mandeep Singh Brar, IAS Secretary, Local Government and Urban Development Department, Chandigarh Administration, confirmed that the new tax rates will be effective from April 1, 2025. The previous notification dated November 22, 2004, has been repealed, while all other terms and conditions remain unchanged.