Revenue Dept permits individual land tax for flats

The Revenue Department of Kerala has issued an order allowing flat and apartment owners across the state to pay land tax in their own names. As per the order, each flat and apartment will be assigned a separate Thandaper (land account number) and a Possession Certificate. To avail this facility, owners must submit an application along with a copy of their ownership document to the respective Village Office.

Currently, in situations where the land has not been individually subdivided, land tax can only be paid jointly under collective ownership. This has caused significant inconvenience to owners, especially when land tax receipts are required for bank loans and other official purposes. The new decision aims to resolve these issues by facilitating individual tax payments.

The order also states that pokkuvaravu (mutation of ownership) will only be permitted if the land ownership is legally transferred along with the flat through a registered document. If the land ownership has not been transferred, the existing procedure—where the landowner continues to pay the tax—will remain in place. This must be confirmed after verifying the title documents.

Mutation will be recorded by assigning sub-numbers to the current Thandaper of the flat owner. For example, if an apartment is built on a plot with Thandaper number 100, and one flat is owned by person A and another by person B, then A will be assigned Thandaper 100/1 and B will be assigned 100/2. In such cases, all the survey numbers under the original Thandaper must be included under the new sub-Thandapers. While creating new Thandaper numbers, the proportionate extent of land must be deducted from the parent Thandaper. Once the entire land area has been divided and the corresponding rights are assigned, the original Thandaper will become inactive.

The same provision will be extended to residents of tsunami rehabilitation flats, ensuring that they too can pay land tax individually.

In cases where ownership is transferred without specifying the exact land area or subdivision—i.e., in undivided properties—the land tax receipt should mention "Undivided Share (UDS)." Subsequently, the total land area will be divided by the number of flat owners, and tax will be calculated either based on the applicable rate of the local government or a minimum amount per flat—whichever is higher.

The new order has been issued that enables banks to accept personal land tax receipts as valid proof of ownership for flats and apartments. This move is expected to significantly benefit flat owners by streamlining ownership verification processes. Residents living in resettlement areas, including those under tsunami rehabilitation schemes and the Punargraham project, will now have the opportunity to obtain legal ownership rights by paying property tax in their own names. The implementation of this law is aimed at enhancing transparency and legal clarity in matters related to individual ownership, banking transactions, property sales, and other associated procedures.

https://document.kerala.gov.in/documents/governmentorders/govtorder2504202518:35:11.pdf