BENGALURU: A significant reduction in fees for converting B-khata properties to A-khata is poised to affect Bengaluru’s civic finances, with five city corporations projected to lose about ₹1,015 crore in revenue this year.
As part of the “Nanna Khata Nanna Hakku” initiative launched by the Greater Bengaluru Authority on May 15, property owners now have 100 days to regularize B-khata properties by paying just 2% of the guidance value, down from 5%. Officials noted this adjustment will allow citizens to save substantial amounts; however, it will severely impact revenue streams that have already been included in the 2026-27 civic budgets.
Approximately seven lakh B-khata properties in Bengaluru qualify for conversion, and civic agencies anticipated considerable income from this scheme. Thus far, over 12,000 applications have been submitted, with around 6,000 approved and nearly 1,500 property owners completing their payments to obtain A-khata status.
Officials warned that this revenue shortfall may exacerbate the financial pressures on corporations, which are already struggling to meet payroll obligations and fund waste management and infrastructure projects. For a standard 30×40 site under GBA limits, residents could still expect to pay close to ₹1 lakh, including conversion fees, cess, and development charges.
