Term Of The Day: Mutation Of Property
Mutation Of Property
Mutation of property is the transfer of ownership titles while selling or purchasing property, or when the owner of a property dies.
PropTiger Explains Mutation Of Property
During mutation of property, ownership titles are changed in the revenue records of the local municipal authority. When you buy a property, you must apply for mutation, to make sure that the owner in the title records is you. But, to transfer ownership titles from one person to another, the seller must obtain a 'certificate of completion' from the local municipal authority to the buyer. While inheriting property, you must write an application and submit it with an indemnity bond to the development authority office. You must also submit the copy of death certificate and will, an affidavit attested by notary, and documents that prove that property tax has been paid till date. To convert leasehold property to freehold property, you need the sale deed, conversion premium and irrevocable power of attorney. The charges municipal authorities levy for mutation of property varies.
When the ownership title changes during mutation, municipal corporations are able to collect property tax from the present owner. Mutation of property us necessary to transfer the liability of property taxes.
The Department of Industrial Policy and Promotion (DIPP) recently announced its plan to integrate mutation of land with eBiz portal.
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