“What is mutation of property and why is it important?” asked Sharath on CommonFloor’s Forum, a platform that addresses property-related concerns of buyers and seekers. There are many people like Sharath who are completely clueless about mutation of property. Thus, in this article, let us delve into some major aspects of this important document.

What is Property Mutation?

In simple words, mutation is the change of title ownership from one person to another when the property is either sold or transferred. Once the property is mutated, the new owner gets the property recorded on his/her name in the land revenue department.

Why Is It Important?

The municipal body in a city keeps records of property ownership transfers. This is important to fix the property tax payment liabilities. Moreover, property mutation is important as it stands as the proof of ownership and may act as a tax record.

Document Required

* In case of property buying, you will be required to submit a copy of the sale deed, an application for mutation with court fee stamp affixed on it, indemnity bond on stamp paper of requisite value, affidavit on stamp paper of requisite value and a receipt of up-to-date property tax payment.

* In a case where the owner has died and you have inherited the property, you will have to produce the death certificate, copy of Will or Succession Certificate, indemnity bond on stamp paper of requisite value, an affidavit on stamp paper of requisite value attested by a Notary, receipt of up-to-date property tax payment.

* If the property has been purchased through a registered power of attorney, updation of revenue records should be applied in order to transfer the ownership from the seller to the buyer. The documents required in this case are copy of Will, a receipt for payment registered with a sub-registrar, an application for mutation with court fee stamp affixed on it.

Also Read: All you Need to Know About Property Tax

What is Dakhil Kharij?

Mutation of property is also known as ‘Dakhil Kharij’.

In case of Land

In case of ownership related to land, mutation is all the more crucial. Let’s say, there is an agricultural land registered in the name of person A, while the mutation is in the favour of person B. In case if the land is acquired by government, the funds will be in favour of person B as in the revenue record he is the owner of the land. It should be ideally be taken every six months from the revenue office in order to check for any wrongful transaction on the property. A regular update will ensure your property records stand clean.

Procedure and Fee

The documentation procedure and the fee payable may vary from state to state. To apply for mutation, an application to the tehsildar of the area has to be given on a plain paper along with the required value of a non-judicial stamp paper.

Is there a Penalty?

Yes, but it is very minimum. However, while selling a property, mutation document is very crucial. Thus, make sure you have this document too. The best part is that you can get it done as per your convenience.

All said and done, once you have closed a deal and registered the property in your name, make sure to get mutation of the property done in government records.