Ghaziabad: In a communication to the Ghaziabad Nagar Nigam on Friday, the Uttar Pradesh government announced a slight reduction in rental values, aiming to lower the overall property-tax on properties, officials said.They added that the new rates will be incorporated in the next few days.
Explaining the order at a press conference on Saturday, city mayor Sunita Dayal and civic officials claimed that the revised rates will effect an increase of about 10-12% in property tax levied on properties.
Rental values are the amount a property can generate in rent over a specific period, and form the basis for the calculation of property tax. The corporation last increased these values in 2024, effective April 1, 2024.
However, the increased property tax led to protests from residents, traders, RWAs, and other associations, who claimed the hike increased their tax burden three to five times.
The corporation also faced protests from its councillors at the headquarters in July 2025, while three former councillors moved the Allahabad High Court last year, contending that the tax had been significantly hiked.
However, in its order on February 25, 2026, the court dismissed the petition, stating that the exercise taken up by the respondents was “found to be fully in consonance with the statutory provisions requiring no interference by this court.”
According to officials, there are about 772,000 taxable properties under the Ghaziabad municipal corporation, and about 2 lakh did not pay up the hiked tax in 2025.
“Therefore, the government took cognisance and provided relief to residents. After the latest revision, the effective property tax increase is hardly about 10%.We will ensure the correct calculation of tax, and we will hire people for that role. The new system incorporating the revised rental values will become effective in the next couple of days,” Dayal said.
“Those who have deposited the increased/hiked tax amount during the past two years, their amount will be adjusted in the future. The revision in tax has been done in such a manner that it is 10-12% on average (along with different rebates provided by the corporation), and for anyone who is not availing rebates, the increase is a maximum of about 20%,” municipal commissioner Vikramaditya Malik said during the press briefing.
Malik said that property owners who did not deposit their tax for the last year will be given three months’ time to pay up without levy of any interest or penalty.
“Those who have not deposited their tax for the last year are given three months to deposit the tax within three months from April 15 to July 15. This will be without penalty or interest and will be with rebates. The government has taken a decision so that revenue increases for development without burdening the residents,” Malik added.
According to the latest order, the revised rental values for properties with RCC/concrete roofs located on roads at least 24 meters wide for categories A, B, and C stand at ₹3.4, ₹2.98, and ₹2.55 per sq ft, respectively.
Following the April 2024 hike, rental values for the same category were set at ₹4, ₹3.5, and ₹3 per square foot, respectively. The latest revision represents a reduction of ₹0.6, ₹0.52, and ₹0.45, based on the two official figures.
“If we see the hiked rates and the revised rates, there is a minor reduction in rates. To ascertain the exact tax benefit to residents, the corporation officials must calculate the revised rates along with different rebates and inform residents about the final tax payable in detail. Then, the resident will be able to ascertain if they have been provided relief or not,” said Himansu Mittal, former councilor from Kavi Nagar who was one of the three petitioners in the case at the high court.