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Delhi's Municipal Corporation Unveils New Trade Licence System Linked to Property Tax Portal

The Municipal Corporation of Delhi has successfully integrated the General Trade Licence system with its property tax portal, providing a streamlined process for traders. Starting June 23, businesses can renew their licences by paying an additional 15% on their property tax. This move aims to reduce compliance costs and enhance the ease of doing business in the capital. Despite previous delays, officials are optimistic that this new system will simplify the licensing process for traders across Delhi. Discover how this integration will impact local businesses and the overall trading environment in the city.
 

New Licensing Mechanism for Traders in Delhi


New Delhi: The Municipal Corporation of Delhi (MCD) has officially linked the General Trade Licence (GTL) system with its property tax portal, resolving months of uncertainty for traders regarding the new licensing process, as announced by officials on Wednesday.


Starting June 23, traders can now pay an additional 15% on their annual property tax via the property tax portal to renew their trade licences. The receipt generated from this payment will serve as the trade licence.


The property tax pertains to the tax levied on the premises where businesses operate.


According to the statement, "The General Trade Licence fee will be calculated at 15% of the property tax due, and the online payment receipt will function as the trade licence."


This development follows months of complaints from traders about delays in the integration, despite a deadline of April 30 for renewing trade licences.


In December of the previous year, the MCD House approved a plan to connect general trade and storage licences with the property tax system. Under this framework, the licence fee is set at 15% of the applicable property tax and is to be paid alongside the annual property tax.


However, the system was not operational when the renewal period commenced in April, forcing traders to continue using the old licensing method to avoid penalties.


Nitin Gupta, president of the Kamla Nagar Market Association, previously stated, "The deadline was April 30, and since the new system was not ready, traders had no choice but to stick with the old process."


Traders have expressed that the new system will help reduce compliance costs for many businesses.


MCD officials cited procedural challenges as the reason for the delay, including uncertainties about whether the licence fee should be paid by the property owner, the occupier, or the business operator, and how these payments would be managed through a single portal login.


Official statistics reveal that the MCD issued 43,178 trade licences from April 1, 2025, to March 31, 2026, generating revenue of Rs 118.03 crore. The City Zone recorded the highest revenue of Rs 15.70 crore from 3,634 licences, followed by the South Zone with Rs 13.12 crore from 3,826 licences.


The civic body stated that this integration aims to enhance the ease of doing business and streamline procedural requirements for traders throughout the capital.