Rebate for converting B-Khata to A-Khata hits corporation budgets

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Ever since the strategy  was introduced successful  the Greater Bengaluru Area connected  October 15, 2025, lone  949 B-Khatas person  been converted to A-Khatas.

Ever since the strategy was introduced successful the Greater Bengaluru Area connected October 15, 2025, lone 949 B-Khatas person been converted to A-Khatas. | Photo Credit: File photo

The 60% rebate successful the fees for the conversion of B-Khata to A-Khata, announced by Deputy Chief Minister and Bengaluru Development Minister D.K. Shivakumar connected May 13, has upset the Budget Estimates (BE) of the 5 corporations presented lone implicit a period ago.

Previously, the interest was acceptable astatine 5% of the guidance worth of the crippled to beryllium regularised, but it has present been reduced to 2% for a 100-day model owed to a deficiency of involvement successful the scheme.

Ever since the strategy was introduced successful the Greater Bengaluru Area (GBA) connected October 15, 2025, lone 949 B-Khatas person been converted to A-Khatas, collecting a gross of ₹52.35 crore. GBA has received a full of 11,916 applications against an estimated 7 lakh B-Khata properties successful the city.

The 5 corporations enactment unneurotic estimated a ₹1700.5 crore gross from this root successful 2026-27. If the 60% rebate is applied to each properties, the magnitude volition trim to ₹680.5 crore.

Ironically, Bengaluru City North Corporation, successful its budget, had estimated to cod a gross of ₹680 crore from the Khata conversion scheme.

While this volition deed estimated revenues of the corporations, the caller last notification to gathering bylaws, wherever the maximum permissible deviation that could beryllium regularised with a punishment has been accrued from 5% to 15%, is expected to bring successful much revenues for the corporations. However, determination is nary estimation available.

Srikanth Vishwanathan, CEO, Janaagraha Centre for Citizenship and Democracy, and a municipal concern expert, said the State authorities should guarantee argumentation continuity and support gross streams for the Urban Local Bodies (ULBs). “Over a decennary ago, the corp utilized to fund a gross of ₹1000 crore each twelvemonth from Akrama - Sakrama and not a rupee materialised. Such practices undermine the integrity of the budgets. The State precocious approved these 5 budgets, which means they approved these estimates. If the State present wants to supply a rebate, it indispensable ideally marque bully the difference,” helium argued. 

North and West deed most 

As B-Khata properties are much rampant connected the city’s outskirts, corporations covering these areas estimation much revenues from this source. It made up 20% of the North Corporation’s ain revenues and 17% of the West Corporation’s. The rebate volition deed them the most.

However, these corporations are present going into a peculiar thrust mode to people treble the fig of properties they hoped to person this twelvemonth to support their revenues.

K. V. Rajendra, commissioner, Bengaluru City West Corporation, said their fund estimation to cod ₹563 crore from the root was based connected a people to person 15,000 properties this fiscal, of the wide 3 lakh B-Khata properties. “On an average, we estimated that each spot volition wage anyplace betwixt ₹3 lakh and ₹5 lakh. Now that volition beryllium down to ₹2 lakh, we person decided to transportation retired a peculiar thrust to person spot owners with large plots to avail the rebate window. We are targeting 30,000 properties to convert, to marque ₹600 crore,” helium said. 

Bengaluru City North Corporation Commissioner Pommala Sunil Kumar said the North Corporation would besides instrumentality the aforesaid way and instrumentality up a peculiar thrust to people treble the fig of properties this fiscal than they initially thought. “We had estimated we could screen 22,000 properties this fiscal, present we volition enactment to screen 2 times that,” helium said. 

Published - May 21, 2026 07:14 p.m. IST

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