Delhi MC integrates trade licence fee with property tax

In a major step aimed at simplifying compliance and improving ease of doing business, the Municipal Corporation of Delhi has decided to integrate the general trade/storage licence fee with the property tax system, eliminating the need for a separate trade licence application.

Under the new framework, property owners and occupiers will no longer be required to obtain a standalone general trade licence under the Delhi Municipal Corporation Act, 1957. Instead, the applicable licence fee will be paid along with the annual property tax through the civic body’s online portal, using the Unique Property Identification Code (UPIC).

Officials said the move is expected to significantly reduce procedural delays and compliance burden for businesses and property holders across the capital.

As part of the reform, the general trade/storage licence fee has been rationalised and fixed at 15 per cent of the property tax of the premises concerned. The payment receipt generated through the portal will serve as a valid “deemed licence” for the premises for one financial year, aligned with the property tax cycle.

While the process has been streamlined, the MCD clarified that all existing regulatory requirements will continue to apply. Property owners and business operators will remain responsible for obtaining necessary clearances related to fire safety, pollution control and other statutory norms.

The civic body also underlined that accountability for safety and compliance will rest entirely with the owner or occupier. Any negligence leading to loss or damage may attract civil and criminal liability, and a formal declaration to this effect will be part of the tax payment process.