- 1 - HC-KAR NC: 2025:KHC:33854 WP No. 12767 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 30TH DAY OF AUGUST, 2025 BEFORE THE HON'BLE MR. JUSTICE M.I.ARUN WRIT PETITION NO. 12767 OF 2025 (LB-RES) BETWEEN: 1. SMT. SUVARNAMMA W/O NAGARAJACHARI Y. AGED ABOUT 55 YEARS R/AT 'SAI PAVAN NILAYA' SAI BABA PARK, OPP: FILTER WATER GANDHINAGAR, CHALLAKERE TOWN CHITRADURGA DISTRICT-577 522. …PETITIONER (BY SRI. J. R. MOHAN, ADVOCATE) AND: 1. THE COMMISSIONER CITY MUNICIPAL COUNCIL CHALLAKERE - 577 522 CHITRADURGA DISTRICT. …RESPONDENT (BY SMT. G.K.BHAVANA, ADVOCATE) THIS PETITION IS FILED UNDER ARTICLES 226 & 227 OF THE CONSTITUTION OF INDIA, PRAYING TO QUASH THE ENDORSEMENT BEARING NO.Cha/Kam.Sha/CR01/24-25 DATED 04-03-2025 ISSUED BY THE RESPONDENT VIDE ANNEXUE-G AND ETC. THIS PETITION COMING ON FOR PRELIMINARY HEARING IN 'B' GROUP, THROUGH PHYSICAL HEARING/VIDEO CONFERENCING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: Digitally signed by GEETHA P G Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR NC: 2025:KHC:33854 WP No. 12767 of 2025 CORAM: HON'BLE MR. JUSTICE M.I.ARUN ORAL ORDER The petitioner is said to have purchased the property which is the subject matter of the writ petition by a registered sale deed dated 07.01.2022. Thereafter, the petitioner has requested the respondent-Challakere City Municipal Council to mutate the khatha with respect to the property in her name. However, respondent has issued an endorsement (vide Annexure-G to the writ petition) demanding payment of Rs.1,19,389/- towards property tax and has stated that only thereafter a decision will be taken regarding effecting of khatha. Aggrieved by the same, the present writ petition is filed with the following prayers: "(a) ISSUE a Writ in the nature of Certiorari to quash the Endorsement bearing No.Cha/Kam.Sha/CR01/24-25 dated 04-03-2025 issued by the Respondent vide Annexure-G; (b) ISSUE a Writ in the nature of Mandamus, directing the Respondent to effect katha in the name of the Petitioner in respect of the property bearing No.32- 503-73, Assessment No.1265/1191/1165/2090/191, situated at Gandhinagar Ward No.23, Challakere - 3 - HC-KAR NC: 2025:KHC:33854 WP No. 12767 of 2025 Town, Chitradurga District by considering the representation dated 24-02-2025 vide Annexure-F; (c) ISSUE such other writ or order or direction as this Hon'ble Court deems just and property in the facts and circumstances of the case and allow this Writ Petition, in the interest of justice and equity." 2. When a person purchases a property falling within the jurisdiction of a City Municipality, he is required to issue a notice to that effect to the Municipal Council. Thereafter, the Municipal Council is required to transfer the khatha into his name. Subsequently, the petitioner is liable to pay the property tax in accordance with law. Sections 111 to 115 of the Karnataka Municipalities Act, 1964 (for short 'the Act') reads as under: "111. Notice to be given to municipal council of all transfers of title by persons primarily liable to payment of property tax.—(1) Whenever the title of any person primarily liable for the payment of a tax imposed on any premises in the form of a rate on buildings, or lands or both, is transferred, the person whose title is transferred and the person to whom the same is transferred shall, within three months after the execution of the instrument of transfer or after registration if it be registered or after transfer is effected, - 4 - HC-KAR NC: 2025:KHC:33854 WP No. 12767 of 2025 if no instrument is executed, give notice of such transfer in writing to the Municipal Commissioner or the Chief Officer. (2) In the event of the death of any person primarily liable as aforesaid, the person on whom the title of the deceased devolves, shall give notice of such devolution to the Municipal Commissioner or the Chief Officer within six months from the date of death of the deceased. 112. Form of notice.—(1) The notice to be given under section 111 shall be in the form either of Schedule VIII or Schedule IX, as the case may be, and shall state clearly and correctly all the particulars required by the said form. (2) xxx 113. Name of transferee to be entered in property tax register.- Whenever such transfer comes to the knowledge of the Municipal Commissioner or Chief Officer through such notice the name of the transferee shall be entered in the property tax register. 114. Liability for payment of property tax continue in the absence of notice of transfer.—(1) Every person primarily liable for the payment of a tax imposed on any premises in the form of [property tax] who transfers his title to or over such premises without giving notice of such transfer to the municipal council as aforesaid, shall, in addition to any other liability which he - 5 - HC-KAR NC: 2025:KHC:33854 WP No. 12767 of 2025 incurs through such neglect, continue to be liable for the payment of all taxes from time to time payable in respect of the said premises, until he gives such notice, or until the transfer shall have been recorded in the registers of the municipal council. (2) Nothing in this section shall be deemed to affect the liability of the transferee for the said taxes or to affect the prior claim of the municipal council on the premises conferred by section 151 for the recovery of the taxes due thereon. 115. Power to assess in case of escaped from assessment.- Notwithstanding anything contrary contained in this Act or the rules made thereunder if for any reason, any person liable to pay any of the taxes, cess, rates, fees or charges leviable under this chapter has escaped assessment in any year, the Municipal Commissioner or the Chief Officer as the case may be, or the authorised officer may at any time within six years from the date on which such person should have been assessed, serve on such person a notice assessing him to the tax, rate, cess, charges or fees due and demanding payment thereof within fifteen days from the date of such service; and the provisions of this Act and rules made thereunder shall so far as may be, apply as if the assessment was made in the year to which tax, rate, cess, charges or fee relates." 3. While considering an analogous provision under the provisions of Karnataka Municipality Corporations Act, 1976, - 6 - HC-KAR NC: 2025:KHC:33854 WP No. 12767 of 2025 the Co-ordinate Bench of this Court in W.P.Nos.43314/2016 c/w 44250/2016 and 48372/2016, in paragraph nos.8, 9, 10 has held as under: "8. In terms of Section 114 of the Act, the taxes are not collected from the hands of the petitioners. Though the petitioners were always ready and willing to pay tax once their names appear in the Register of the Properties, pursuant to change of khata in terms of the afore- extracted provision. 9. Justification given by the learned counsel appearing for the respondent - BBMP is that, the Commissioner is empowered to demand any document in terms of Section 447 of the Act. 10. The submission is unacceptable as in terms of the Act, the name of the petitioners should be at the outset entered into the Tax Payment Register of the BBMP and it is only then, the BBMP, if available in law can proceed against the transferee and not otherwise. Making the arrears of tax payable as a condition precedent to the change of khata, is erroneous and illegal." 4. Thus, a person when he becomes owner of the property he is entitled to have the khatha mutated in his name in respect of the said property. At the same time he becomes liable to pay the property tax in respect to the said property - 7 - HC-KAR NC: 2025:KHC:33854 WP No. 12767 of 2025 and the respondent is entitled to recover the same in the manner known to law, if it is unpaid. But that cannot be a precondition for not registering his name in the revenue records. In fact, one of the primary purposes of issuance of khatha is to identify the person who is liable to pay the tax and a person becomes liable to pay the tax only after his name is entered in the revenue records and not otherwise. Hence, The demand of the respondent that the petitioner should pay the property tax first before getting the khatha registered in his name is erroneous. 5. Learned counsel for the respondent submits that presently a person applying for khatha has to apply it online and the software does not permit the respondent to accept the request of the petitioner for consideration unless property tax is paid. 6. The contention of the respondent is not acceptable. The software is the property of respondent/State. The same is required to be developed in accordance with the statute. Because the software does not provide for registration of khatha in the name of the petitioner because she has not paid - 8 - HC-KAR NC: 2025:KHC:33854 WP No. 12767 of 2025 the property tax as assessed by the respondent, cannot be a justification for the respondent to go against the provision of the statute. Further, the petitioner is having a right to dispute the quantum of the property tax imposed under Section 105(6) of the Act. 7. Hence, the following: ORDER i) The impugned endorsement dated 04.03.2025 passed by the respondent (vide Annexure-G to the writ petition) is hereby set aside; ii) The petitioner is given liberty to make a fresh application for change of khata; iii) The same shall be considered by respondent within a period of two months thereafter without insisting upon payment of property tax as a precondition for such consideration; iv) However, liberty is reserved for respondent to demand the necessary property tax thereafter and it is needless to state that if petitioner is aggrieved - 9 - HC-KAR NC: 2025:KHC:33854 WP No. 12767 of 2025 by the said demand, she is having the liberty to challenge the same in the manner known to law; v) The writ petition is disposed of accordingly. Sd/- (M.I.ARUN) JUDGE PGG List No.: 1 Sl No.: 54