🤔 Introduction: A Cheap Deal or a Legal Trap?
You’re excited about a site near Kengeri.
The price is tempting.
The area looks developed.
And the seller says, “It has Khata, and taxes are paid regularly!”
But when you check the documents, it turns out to be B Khata.
Now the big question hits you:
“Can I legally buy this B Khata property?”
“Will I get a loan?”
“Can I build on it?”
If you’ve been asking these questions — you’re not alone.
Thousands of buyers in Bengaluru face the same situation.
In this blog, we will give you clear, legally-backed guidance — in simple language — on what a B Khata means, what risks are involved, and whether you should move forward or walk away.
📜 What Is a B Khata Property, Really?
A B Khata property is one that is not fully regularised under the rules of the planning authorities.
It usually refers to properties that:
- Are built on revenue land
- Were not approved by BDA, BMRDA, or other planning bodies
- Lack proper DC Conversion
- Have layout violations, building plan violations, or were built in unauthorized areas
The B Khata was introduced by BBMP (now GBA – Greater Bengaluru Authority) to collect taxes from these irregular properties, but paying tax does not make the property legal.
That’s the most misunderstood fact.
🧾 If It’s Registered and Taxes Are Paid, Isn’t It Legal?
No.
Many buyers assume that if the Sub-Registrar allows registration and GBA accepts property tax — the property must be legal.
But registration and taxation do not equal legality.
Even an encroachment can be taxed and registered.
Only approvals from planning authorities, conversion from agricultural to non-agricultural use, and sanctioned building plans make a property legal.
So yes, B Khata property can be registered, but that doesn’t make it safe.
🔍 Why Are So Many Properties Still in B Khata?
Over the years, especially in peripheral Bengaluru areas like Hoskote, KR Puram, and Yelahanka, many plots and buildings sprang up on revenue land or in layouts without proper sanctions.
To control tax losses, BBMP created a B Register to collect taxes from these properties — without regularising them.
Regularisation was supposed to happen through schemes like Akrama-Sakrama, but that scheme has been stayed by court orders and is not currently active in 2025.
So these properties remain in limbo — neither fully legal nor entirely illegal.
⚖️ Case Law: Karnataka HC Clarifies B Khata Status
In the case of K.C. Prakash v. BBMP (W.P. No. 3676 of 2008), the Karnataka High Court clarified that:
“B Khata is not evidence of ownership or legality. It is a provisional measure for tax collection.”
The court further held that B Khata owners cannot claim the same rights as A Khata owners, and any construction or transfer based on B Khata can be questioned.
So, if you’re planning to build or take a loan — a B Khata won’t help you legally.
🏗️ Can You Build on a B Khata Property?
Legally, no.
A B Khata property:
- Cannot get building plan approval
- Will not get Occupancy Certificate (OC)
- Will not be approved for power/water/sanitation in some areas
- Will not be financed by most nationalised banks
If you build anyway, you may be issued demolition notices or face hefty penalties.
🏦 Will Banks Give You a Loan for B Khata?
Generally, no.
Most banks, including SBI, HDFC, and LIC Housing, demand:
- A Khata
- DC Conversion order
- Approved layout and plan
Even private financiers may hesitate, or offer loans at high risk and higher interest.
So if you’re banking on a home loan — B Khata is a dead end.
📄 Can You Convert B Khata to A Khata?
This is the most common promise made by sellers:
“You can always convert it later.”
But as of July 2025, there is:
- No automatic conversion process
- The Akrama-Sakrama scheme is stayed by the High Court
- GBA has no new orders or powers to convert B Khata to A Khata
So unless there’s a new scheme with court approval, conversion is not possible.
🧠 How Can You Identify a B Khata Property?
Ask for:
- Khata Certificate and Khata Extract
- Check if it says “Form B Register”
- Cross-check DC conversion and layout approval
Never accept just tax payment receipt as proof.
Only A Khata properties can give you:
- Clean title
- Full approvals
- Loan and resale potential
💼 Buyer Risks If You Go Ahead With a B Khata Property
| 🛑 Risk | ⚠️ Impact |
|---|---|
| No building approval | Can’t build legally |
| No loan approval | Must pay full cash |
| Hard to resell | Fewer buyers, lower price |
| No conversion possible | Will remain irregular for years |
| Possibility of demolition notice | GBA has powers to act without warning |
🧾 Quick Recap: Should You Buy?
| ✅ If You Have A Khata | ❌ If You Have Only B Khata |
|---|---|
| Eligible for loan | Loan usually denied |
| OC, building approval available | No approvals issued |
| Safer resale | Hard to find buyers |
| Regular property | Irregular or revenue layout |
📢 Final Word: Don’t Fall for B Khata Traps
A B Khata property might seem like a good deal — but it’s rarely worth the risk.
You’ll spend more money trying to make it legal than you would have paid for a clean A Khata property.
Unless there is a government regularisation scheme in force, our advice is:
Avoid B Khata unless you’re willing to take legal and financial risk.
📧 Email: ranjinijayaram@rjpropertylaw.com
🌐 Website: www.rjpropertylaw.com
📱 Call/WhatsApp: 8088417193
We specialise in verifying Khata status, title documents, and property approvals in Karnataka.
Before you buy — let a property lawyer make sure it’s safe.