In Bengaluru real estate , for the past few years you would have kept hearing about A Khatha , B Khatha. Recently even High court had took a decision to convert all 'B' Khatha property to 'A' Khatha. Based on government rules and regulations Khatha will be provided in Bangalore to the property owner by theBBMP (Bruhat Bangalore MahaNagara Palike) , BDA (Bangalore Development Authority) or BMRDA (Bangalore Mahanagara Rural Development Authority) . Until the government sends out specific instructions , officials say the existing process for Khatha distribution shall continue. In this article , we present a brief information about Khatha , what it means , why is it required and its significance. Hope it helps to property buyers in Bengaluru.
What is Khatha ? Why is it required ?
In Kannada Khatha means an Account - and it really is a account. An account is created by the district authority for property owners and is used for maintaining and tracking Tax deposits and payments. In reality under Karnataka Municipality Council (KMC) rules there is no separate definition for Khatha - but for granting certain permissions for building & development activities it is required. It has the details of the proerty's owner , address/location , dimensions. It is a necessary document if one has to get a Bank Loan , to take licence for Electricity , Water , for resale etc. In Bengaluru , Khatha documents are maintained and tracked by BBMP.What should I do to get Khatha is A Khatha & B Khatha ?
In reality there is no separate category for a Khatha document. All necessary details about a property are recorded in a single Khatha by BBMP. A owner who has a Khatha will be eligible to avail different legal services. If properties sold by BDA and Karnataka Housing Board (KHB) - on producing documents such as Sale deed, Tax paid receipt , Encumbrance Certificate , Property Map - one can approach BBMP office and request for Khatha registration.
If it is revenue layouts, Gramtana , Apartments - one may have to produce Sale deed , details of old sale agreements if any , Land conversion documents, Development Tax receipts , previous Khatha documents , Property Map.
For any property layouts / buildings developed violating BBMP/BDA/BMRDA rules and regulations , Khatha will not be given.
In 2007 - BBMP was formed handling the constituencies of Bommanahalli, DaasaraHalli,KrishnaRajapura , RajarajeshwariNagar , Mahadevapura, Byataraayanapura , Yelahanka and Kengeri. The property documents of these constituencies were not managed properly. Without the the permission of development authorities , for revenue property and for those without land conversion - to register the details of such property and manage taxes a 'B' register was opened and their details were recorded. Property in B register has no legal considerations and for development activities - permissions may not be given and banks may not approve for loans. To regularize Kthata for such properties , development authorities are waiting for the government policy of Akrama - Sakrama.
What do KMC 108A(3) and 114 rules say ?
KMC 108A says for those property which are not as per KMC rules and regulations - without giving Khatha with the only intention to collect Taxes - a separate register has to be used. If the property owner dies or distributes the property to assist registration KMC rule 114 is formed. It is clearly indicated that for properties coming under 108A(3) , rule 114 is not applicable.
Can one purchase properties registered in 'B' register ?
For property registered under 'B' register , at present government does not honor any legal aspects. So if you really know the end party well and with very few banks giving loans , one may attempt at their own risk.
What is the importance of Sale deed then with respect to Khatha?
There is a difference in registering Khatha and Sale deed. Sale deed is only a deed between the two parties who sell & buy property and is essential to prove the ownership of the property. While Khatha is purely a method for collecting Taxes - but for every aspect of property selling , buying & distribution it is required & validated.
When does the Akrama Sakrama Policy get affected ?
Government had already passed this long time back. But considering that more than 2 lakh such properties existing with city already expanded - if regulation violation is still legally scrutinized it may create further problems , with public interest - some people had written a letter to High court . Hence the policy execution could not move in the ideal way expected and BBMP is further waiting for government's decisions. More details on this available at BBMP link - http://bbmp.gov.in/akrama-sakrama
Also , check out our other articles on Bangalore property
** Referred from different sources
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