Property tax in Mohali, Zirakpur and Kharar 2026-27: rates, mSeva payment and the 30 September rebate

• 30 SepLast day for the 10% rebateFY 2026-27, all Punjab civic bodies
• ₹5Top Mohali rate, per sq ydArea 1 houses and flats, before +5%
• 20%+18%Penalty and interestif still unpaid after 31 March
• ₹57.3 CrMohali MC collected in 2025-26against a ₹55 crore target

People who move to Mohali or Zirakpur from Chandigarh often assume property tax works the same way across the border. It does not. Chandigarh is a Union Territory with its own per-sq-ft schedule and a 31 May rebate deadline. Mohali, Zirakpur and Kharar follow Punjab’s self-assessment system, with a September rebate, per-sq-yard rates and much smaller bills. This guide covers the Punjab side: who collects, what the rates are, what a typical flat or house pays, and how to pay on mSeva without a trip to the office.

Who collects property tax where

Mohali’s limits grew in late 2025. The draft expansion published in October 2025 took in Aerocity, IT City, Sectors 81–95, Sectors 73–74 and Sector 57. A notification in November 2025 was reported to add villages including Landran, Balongi and Mauli Baidwan. The MC’s 2026-27 budget expects about ₹90 crore in property tax, up from ₹57.3 crore collected in 2025-26, and it credits the jump to the larger area. If you live in a sector that was recently brought in, expect a property-ID drive.

When Sectors 66–69 and 76–80 were added to the MC in 2014, they were given a three-year exemption. We found no announcement of a similar holiday for the 2025 additions. Check your property on mSeva’s public search rather than assuming either way.

The Punjab residential rates

Punjab replaced its old rental-value system with unit-area rates from 1 April 2014. Cities are grouped into categories. Mohali is “A”, alongside Amritsar, Jalandhar, Ludhiana and Patiala. Class I councils such as Zirakpur and Kharar are “B”. Each town is then split into area classes. Area 1 is the posh or developed area, and Areas 2 and 3 are progressively less developed. The classification is fixed by a state committee and shows up in your assessment.

On top of these base rates, the Local Government Department raised property tax by 5% for FY 2025-26, effective 1 April 2025, for every municipal corporation, council and nagar panchayat in Punjab. A 2021 notification had provided for 5% a year with a review every three years. We could not confirm whether the increments for 2022-23 to 2024-25 were applied in practice. The figure mSeva calculates for your property is what counts. Use the table to sanity-check it, not to argue with it.

Who pays nothing, or less

• Small homes. Single-storey houses on up to 125 sq yards of land are outside the residential rate table. So are flats of 500 sq ft super area or less.
• Categories of people. The Zirakpur council’s property-tax portal lists full exemption for freedom fighters and BPL card holders, and up to ₹5,000 a year off for widows and for persons with disabilities.
• Other exemptions. The same portal lists religious places, cremation grounds, gaushalas, notified heritage buildings, government schools and hospitals, agricultural land, and parking space in multi-storey flats.
• Empty buildings. A building that stayed unoccupied and earned no rent for the year is taxed at half the rate.

Worked examples: what a typical Mohali, Zirakpur or Kharar bill comes to

The arithmetic is simple. Flats are charged on super area converted to sq yards (divide sq ft by 9). Houses are charged on the ground-floor built-up area at the full rate, plus upper floors, basement and open plot area at half the rate. Add 5%. Under the notification, a fraction of 0.5 or less is dropped and anything above 0.5 counts as 1, for both area and rupees.

These are an order of magnitude below Chandigarh. Across the border, a 1,000 sq ft CHB flat alone pays about ₹2,000 a year before rebate. Our guide to Chandigarh property tax in 2026-27 sets out that schedule.

The Punjab calendar: rebate, full tax, then penalties

Punjab uses self-assessment. You declare the property and pay, and the civic body can check later. The penalty clock runs on fixed dates, and it is the same for every town.

Arrears are enforced. Mohali MC began a sealing drive against chronic commercial and industrial defaulters in January 2026 under Section 138-C of the Punjab Municipal Corporation Act, and sealed property can be auctioned. The last one-time settlement scheme waived penalty and interest on arrears up to March 2025 and closed in August 2025. We found no property-tax settlement scheme for 2026. Arrears that were not settled then now carry the full penalty.

How to pay on mSeva, step by step

1. Open mSevaGo to mseva.lgpunjab.gov.in and log in or register with your mobile number and OTP.
2. Search or add the propertySearch by property ID, owner or address. If it is not there, add a new assessment and choose the right city: SAS Nagar, Zirakpur or Kharar.
3. Assess unit by unitEnter each floor or flat with its area and use (self-occupied or rented, residential or commercial), then add the owners.
4. Check the amount and payCompare mSeva’s figure with the rate table above. Pay online; partial payment is allowed.
5. Download the receiptSave it straight away with the property papers. Buyers, banks and the registry office ask for it.

Help: the Local Government helpline is 1800 1800 0172, and complaints can go to WhatsApp 87509-75975. Assisted assessment is available at Sewa Kendras, and in person at the MC Property Tax Branch in Sector 68.

Landlords, PG owners and buyers: the points that catch people

Renting out a flat or house

The residential rate table has no separate, higher rate for a let-out home. The 7.5%-of-annual-rent basis in the 2014 notification applies to non-residential buildings occupied by tenants. The law makes “every owner or occupier” responsible for self-assessment. In practice the rent agreement decides who bears it, and most Tricity landlords pay it themselves. Declare the correct use on mSeva. A home assessed as self-occupied but actually let out is the kind of mismatch that surfaces later.

Running a PG

This is where the bill can change a lot. A 2020 notification, as reported at the time, moved tenanted PGs, hostels and labour quarters onto the rent-based basis of 7.5% of annual rent. That is far more than the residential per-sq-yard rate. Ask the tax branch how your building will be classified before you convert a house or flat into a PG. Our guides to converting a flat into a PG in the Tricity and running a PG in Kharar cover the rest of the numbers.

Buying a resale flat or house

Ask for mSeva receipts for every year the seller has owned it, and check the property on mSeva’s public search yourself. Unpaid arrears carry the 20% penalty and 18% interest, and the civic body can proceed against the property. Registration costs dwarf the property tax. See our breakdown of Mohali collector rates and stamp duty in 2026, and our walk-through of the registry process at Mohali, Kharar and Zirakpur tehsils.

What may change

In February 2026 the state said it plans to revise property tax slabs to track collector rates. It also said geo-tagging of properties, already done in 40 urban local bodies, would reach Mohali next. Neither had changed the 2026-27 bill when this was written. Both would raise the number of assessed properties and probably the rates.

If you own a flat in Mohali, Zirakpur or Kharar and plan to rent it out, Hoomzz lets owners list without brokerage and reach verified tenants directly. List your property on Hoomzz for free, or see what similar flats rent for.

Frequently Asked Questions

What is the last date to pay property tax in Mohali for 2026-27?

The last date for the 10% early-payment rebate on Mohali property tax for 2026-27 is 30 September 2026. From 1 October to 31 December the full tax is payable, from 1 January to 31 March 2027 a 10% penalty applies, and after 31 March a 20% penalty plus 18% annual interest is charged. The same dates apply in Zirakpur and Kharar.

How do I pay Zirakpur property tax online?

Zirakpur property tax is paid on Punjab’s mSeva portal, mseva.lgpunjab.gov.in. Log in with your mobile number and OTP, search for your property or add a new assessment under the Zirakpur municipal council, enter each unit’s area and use, and pay online. Download the receipt immediately. The Local Government helpline is 1800 1800 0172.

How is property tax calculated in Mohali?

Mohali uses Punjab’s unit-area system. A flat over 500 sq ft is charged per sq yard of super area: ₹5 in Area 1, ₹3 in Area 2 and ₹2 in Area 3. A house pays that rate on its ground-floor built-up area and half the rate on upper floors, basement and open land. A 5% increase applies from April 2025.

Is a small flat or house exempt from property tax in Punjab?

Yes. Under Punjab’s 2014 rate notification, single-storey houses built on up to 125 sq yards of land, and flats of 500 sq ft super area or less, fall outside the residential property tax table. Freedom fighters and BPL card holders are fully exempt, and widows and persons with disabilities get up to ₹5,000 a year off, according to the Zirakpur council’s property-tax portal.

Do I pay more property tax if my Mohali flat is rented out?

Not under the residential rate table, which has no separate rate for a let-out home. The 7.5%-of-annual-rent basis applies to non-residential buildings occupied by tenants, and was reportedly extended in 2020 to tenanted PGs, hostels and labour quarters. Declare the correct use when you self-assess on mSeva, and settle in the rent agreement who bears the tax.

What happens if I don’t pay property tax in Mohali?

Unpaid Mohali property tax attracts a 10% penalty from January to March and, after 31 March, a 20% penalty plus 18% annual interest. The Municipal Corporation SAS Nagar ran a sealing drive against chronic defaulters from January 2026 under Section 138-C of the Punjab Municipal Corporation Act, and sealed properties can be auctioned to recover dues.

Sources, and what here is estimate rather than a notified figure

Checked facts. The rate table, the city categories, the half-rate rules, the 125 sq yard and 500 sq ft thresholds, the 7.5% non-residential tenant rule and the rounding rule are from the Punjab Local Government notification No. 2/4/2014-5lg3/379043/1 of 31 December 2014. The 5% increase is from notification No. 3/1/21-1lg3/786 dated 5 June 2025.

• Punjab Local Government notification, 31 December 2014: unit-area rates and categories
• Punjab Local Government notification, 5 June 2025: 5% increase from 1 April 2025
• Desh Click, 24 September 2026: Mohali MC’s 10% rebate until 30 September 2026 and property-ID guidance
• The Tribune, 25 March 2026: 10% penalty to 31 March, then 20% plus 18% interest
• The Tribune, 1 April 2026: ₹57.3 crore collected, ₹90 crore expected in 2026-27, Kharar’s ₹9 crore target
• The Tribune, January 2026: sealing drive against chronic defaulters
• The Tribune, October 2025: draft expansion of Mohali MC limits
• The Tribune, February 2026: plan to align slabs with collector rates; geo-tagging
• Municipal Council Zirakpur property-tax portal: rebates and exemptions
• Punjab Local Government Department: mSeva links and helplines

Estimates, not notified figures. The worked examples are Hoomzz arithmetic on the notified rates plus the 2025 increase. We could not confirm whether annual 5% increments for 2022-23 to 2024-25 were applied, so real bills may be somewhat higher. The area class (1, 2 or 3) for any particular sector or colony is set by committee and was not verified here. The PG and hostel rule is from contemporary reporting of a 2020 notification whose text we could not retrieve. Treat mSeva’s assessment as final.

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👈 This comparison is based on market observations and publicly available data. Users should verify details independently.