Role of E Khatha in Bangalore Real Estate Market

Given the pile of documents involved in real estate transactions, a first time home buyer is likely to get overwhelmed. The sheer volume of paperwork and the impediments involved in the process, often shapes it into a tiring and lengthy course. For a potential home buyer or an existing one, the word ‘Khata’ rings bell and sounds familiar.The latest development in this route is the ‘E-Khata’.

In the real estate jargon, Khata is basically the account/assessment of a property, which falls in the BBMP (Bruhat Bengaluru Mahanagara Palike)/BMRDA (Bangalore Metropolitan Region Development Authority) jurisdiction, in regard to taxation. Khata holds relevant information such as the owner’s name, area, location, size and built-up area. A khata in bangalore, which is filed online is termed as the e-khata. A khata and PID (Property Identification) number, however, is received once all the government verification on property is completed.

Electronic khata, popularly known as E-khata, is a tool for a plot owner to pay his/her tax in any nationalized bank. To apply for E-khata, the site photo, owner’s photo along with digital signature is a must. Electronic khata is applicable for new plots that fall under the BMRDA jurisdiction. Any individual owner having a valid khata, is entitled to E-khata. For unrelated sites, it will be in the name of the builder, and will be registered in an individual’s name only when 40% of the release order from the BMRDA is received. Only then an owner can transfer the khata in E-form.

Understanding the need/benefits of e-Khata

Considering the growth and expansion of the Bangalore city, the Karnataka Government has laid special emphasis in the process of computerizing land records. Among others, a person filing khata is entitled to obtain receipts when required, with the help of the PID (Property Identification) number. Furthermore, updated khata certificates along with extracts can easily be derived from the BBMP kiosks.

In a bid to prevent fraudulent activities, the Stamp and Registration department gave a nod to the computer generated khata (Form 9 and Form 11), which is mandatory to submit at the time of registration. With the help of the PID number that is generated on computerizing of the records, a property tax owner endowed with the option to access his/her khata and ante up online.

Issues related with it

With the announcement of E-khata, the registration of properties in gram panchayats, properties on the periphery of Bangalore and other urban sprawls across the State, has hit a dead block. Lack of adequate infrastructure to issue the computerized khata has emerged as the primary hurdle for a large number of panchayats, in regard to registration of properties.

As per market reports, property registrations scaled down by 50%, with the new rule coming into effect. Private developers were unable to register sites that were formed under the Bangalore Metropolitan Region Development Authority jurisdiction. Lack of proper infrastructure and user-friendly site has doubled the issues related with the E-Khata registration in the recent times.