Karnataka Extends 2% Betterment Levy Benefit for New A-Khata Applications in Bengaluru Till August 23, 2026

In a relief for thousands of property owners across Bengaluru, the Karnataka government has extended the concession on the betterment levy applicable to obtaining a new A-Khata under the Greater Bengaluru Authority (GBA).

Karnataka Extends 2% Betterment Levy Benefit for New A-Khata Applications
Karnataka Extends 2% Betterment Levy Benefit for New A-Khata Applications

A new government order issued by the Urban Development Department on 24 July 2026 states that eligible property owners applying for a new A-Khata through the single-window system will still pay only 2% of the guidance value as a betterment levy until August 23, 2026.

The decision is welcome to residents who have been waiting for a fairer fee structure for property regularisation as well as documentation. A-Khata was granted to applicants at a lower levy of 2%, as opposed to the typical 5%. This extension also affords property owners who have not yet completed the process another chance to take advantage of the reduced rate.

The matter gained attention after several residents' welfare associations and civic organisations wrote to the Greater Bengaluru Authority. The petitioners contended that there was an imbalance in the levy structure because property owners converting a B-Khata to an A-Khata were required to pay only 2% of the guidance value while those applying for a new A-Khata had to pay 5%.

After these concerns were considered by the GBA, the GBA recommended the continuation of the concession, and the state government extended the reduced levy period. It will also encourage a higher number of property owners to regularise their properties and obtain A-Khata documentation.

As per estimates given by the Greater Bengaluru Authority, nearly five lakh properties in Bengaluru are eligible to obtain a new A-Khata. But so far, only over 7,000 applications have been received by the government. The extension of the concession period will encourage more property owners to complete the process and take advantage of the lower fee before the deadline.

The A-Khata document is crucial for property owners as it is an official record recognised by municipal authorities. It is often used for property transactions, building approvals, making loans, and other legal and administrative purposes. As a result, the government's decision is expected to benefit thousands of residents who have been delaying their applications due to financial considerations.

The initiative will also boost revenue collection for the five municipal corporations that are under the Greater Bengaluru Authority. More property owners are going to register themselves and have their properties regularised, which will help civic bodies to have a better property tax base and enhance urban governance.

The government order clearly states that the concession will be valid only until 23 August 2026. After that date, the applicants wanting a new A-Khata will have to pay the standard betterment levy of 5% of the guidance value. Any official who grants concessions beyond the stipulated deadline will be disciplined, authorities said.

The clock is ticking for eligible property owners, and they should submit their applications as soon as possible to avoid higher charges after the concession period ends. It is also one of the most significant property relief measures announced for Bengaluru residents this year.