The Karnataka Cabinet has approved the issuance of A-khata certificates to B-khata properties located in illegal layouts under the jurisdiction of urban local bodies. The decision applies to buildings, apartments, and flats, Law and Parliamentary Affairs Minister H.K. Patil told reporters after the Cabinet meeting on January 8.
He clarified that A-khata is issued only to properties developed in layouts formally approved by the relevant authorities, whereas B-khata applies to units built in layouts that lack such statutory approvals.
“The cabinet has approved allowing sites and residential units currently classified as B-khata, because they were developed in layouts without mandatory approvals, to be upgraded to A-khata within the jurisdiction of the state’s urban local bodies. It applies to buildings, apartments, and flats. It is a policy decision,” Patil said.
Patil said the decision is similar to the one previously taken for B-khata properties here. He stated that genuine properties in layouts approved by competent government bodies are assigned an A-khata, while B-khata properties are located in layouts without such approvals.
“Regarding the grant of A-khata to sites and buildings/apartments/flats holding B-khata in layouts formed without obtaining approval from the competent authority within the jurisdiction of the state’s urban local bodies, the cabinet has given its approval,” the state law and parliamentary affairs minister said.
“It’s a policy decision. No court has stayed it, so we have gone ahead with it,” he said.
In Karnataka, a khata is an official property account maintained by the local municipal authority. It records a property’s details, such as size, location, ownership, and tax assessment, and is essential for paying property tax and establishing legal ownership for civic purposes.
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What is a B-khata?
B-Khata is a type of property record maintained by the city’s municipal corporation for properties that do not fully comply with legal and planning norms. These include buildings in unauthorised layouts, constructions without approved plans, or those lacking occupancy certificates. Although these properties are not entirely legal, owners are still required to pay property taxes, and their details are recorded for tax purposes.
However, owning a B-khata property comes with several drawbacks, according to experts. These properties are not considered fully legal and face restrictions when it comes to selling, getting building approvals, or applying for trade licenses. Banks and financial institutions usually do not offer loans against them.
Compared to A-khata properties, which are fully compliant with local laws, B-khata properties generally have lower market value and limited legal benefits, experts say.
An ‘ A-khata’ is issued for properties that fully comply with government regulations, including approved layouts, sanctioned building plans, and the required certificates. A-khata properties are considered legally valid and eligible for bank loans, trade licenses, and property transactions without restrictions.
Previously, the Karnataka Cabinet approved the regularisation of B-Khata properties. In July last year, it cleared the regularisation of B-Khata properties issued by the city’s former municipal corporation, the Bruhat Bengaluru Mahanagara Palike (BBMP), up to September 2024.
A press note issued by the state government then said that unauthorised construction and unplanned development have led to the issue of lakhs of B-khatas, which need to be regulated and controlled.
“There is a need to bring B-khata properties under the control and regulation of the Karnataka Town and Country Planning Act. The Greater Bengaluru Governance Act prohibits the issuance of B-khata for unauthorised properties created or constructed after September 30, 2024. The concept of B-khata was introduced in 2009, and therefore all Khatas issued before 2009 were A-Khata or proper khata,” it had said.