LAWYERS FOR MUTATION OF PROPERTY
WHAT IS MUTATION OF PROPERTY?
When buying a property, due diligence is essential and you have to verify a lot of important property documents. Patta or mutation or Khata is one such important property document.
When you are selling a property, the prospective buyer might ask for a copy of the latest mutation document. Based on my experience, it has been observed that many people do not know the importance of this document.
Mutation is the change of title ownership from one person to another when the property is sold or transferred. By mutating a property, the new owner gets the title of the property recorded on his/her name in the land revenue department and the government is able to charge property tax from the rightful owner.
One needs to get mutation done and get the new owner details updated in the revenue records maintained by civic bodies like Municipalities, Panchayats or Municipal Corporations.
Mutation Vs Registration of Property:-
Registration of the property is a full and final agreement signed between two parties ie., buyer and seller. Once a property is registered, it means that the property buyer in whose favor the property is registered will become the lawful owner of the property and is fully responsible for it in all respects. The new owner is liable to pay property taxes, development charges etc which are levied by the local civic body.
Once the property is registered in Sub-registrar office, the buyer of the property has to get the title of the property updated in his/her name in the local revenue office (municipality or panchayat office). This is known as mutation. Once the property is updated in the revenue records, henceforth the new owner has to pay the applicable taxes to the civic body (like property tax, development charges etc.)
So, registration of property and mutation of property are two different things. Mutation of property happens after the registration of property.
Registration of property through the execution of a Sale Deed is done at Sub-registrar office (Registration office) and mutation is done at local civic body office. Registration of the property does not lead to automatic update of land records in revenue office.
Types of Mutations:-
There are two types of mutations.
1. Mutation of Agricultural lands &
2. Mutation of Non-Agricultural Lands. Example : Flats, independent houses, residential plots, godowns, etc.,
In case of Agricultural lands, mutation is must. Without mutation the land title will not pass to the new owner. Mutation should be entered in the revenue records. The owner’s name which is recorded in the revenue records is referred as ‘Pattadhar’. In scenarios like land acquisition by the Government then the compensation is paid only to the individual whose name is present in the revenue records.
In case of non-agricultural lands, failure to mutate does not take away your right in the sale deed. That is even though the mutation has not done, the purchaser’s title will not be affected. He/she will remain the owner of the property. But the only problem of not mutating is that you may not get electricity connection, water connection and you cannot pay municipal tax.
When Mutation of property can be done?
You need to get the transfer of title of property (mutation) done in the below circumstances to avoid any legal disputes in the future;
• After buying/purchasing a property.
• After inheriting a property through a Will or without a Will.
• After acquiring a property through a Gift Deed.