The Government of Karnataka on October 08, 2026, issued the Karnataka Gram Swaraj and Panchayat Raj (Taxes, Rates and Fees of Gram Panchayats) (Amendment) Rules, 2026.
The following has been stated namely: -
• Integration of Budget & Account Forms: Amends Rule 2 to incorporate Form 11A and Form 11B specified under the Karnataka Gram Swaraj and Panchayat Raj (Gram Panchayat Budget and Accounts) Rules, 2006 into the definitions.
• Application Processing Timeline: Extended the processing timeline for applications from 15 working days to 22 working days.
• Issuance Criteria for Form 11A: Registered documents are required for issuing Form 11A. In the absence of registered documents, Form 11A will be issued based on specific Annexure-1 documents only for buildings constructed prior to April 07, 2025, provided the built-up area and adjacent plot size do not exceed 4,000 sq. ft.
• Timeline & Public Notice Rules: Upon receiving an application, an automated 7-day public notice is triggered online and posted on notice boards for public objections. Objections must be resolved within 5 working days, followed by site inspection, before routing to higher officials.
• Deemed Verification & Approval: Executive Officers must review applications within 4 working days, failing which they are deemed verified. Senior Panchayat Development Officers/PDOs must digitally sign and approve Form 11A/11B within 2 days, failing which applications receive automated deemed approval.
• Exemption from Tax Net: Buildings constructed under Section 95(1) of the Karnataka Land Revenue Act, 1964 after the notified date of the Amendment Act, 2025, are excluded from the tax net.
• Commercial & Non-Residential License Fees: License issuance, renewal, and ex-post-facto approval fees for commercial and non-residential activities are set at 0.40% and 0.50% respectively, based on market valuation guidelines (site and proposed building values) under Section 45B of the Karnataka Stamp Act, 1957.
• Penalties for Illegal PID/Khata Issuance: Strict disciplinary action and heavy penalties will be levied on Panchayat Development Officers or Secretaries who illegally issue PIDs or Khatas in violation of the Karnataka Town and Country Planning Act, 1961.
• Financial Penalty Penal Code: Officials responsible for illegal or default deemed approvals face fines equivalent to double the guideline value of the plot area, alongside service rule disciplinary proceedings.
This shall come into force on October 08, 2026.
[Notification No. RDPR 622 GPA 2026 (P1)]
