If you are buying property worth more than Rs 30 lakh in Karnataka, then you need to pay attention. Now at the time of registration of documents, the sub-registrar will have to give the information of your deal directly to the Income Tax Department, according to a media report.

The Stamp and Registration Department of Karnataka has instructed all sub-registrars to fill and submit a special form called Specified Financial Transaction (SSFT) during such big transactions, according to a report published in The Times of India. This form will have to be taken from those who are buying or selling property worth Rs 30 lakh or more.

Actually, it is necessary to give this information under section 285BA (1) of the Income Tax Act. The Income Tax Department noticed that many sub-registrars were not sending this information on time, due to which this new circular had to be issued, the report said.

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These details will be required before registration:

According to the circular, the sub-registrar will now have to take some important details from the buyer and the seller, such as:

PAN card and Aadhaar number

Address and date of birth of both the parties

Mobile number and email

Date of registration and details of the property

Method of payment

Receipt of Form 60 (if there is no PAN)

All these details will have to be verified by both the parties and submitted after scanning along with the rest of the documents.

If SSFT form is not given, documents will not be given:

From now on, registration will be considered complete only when SSFT information is given. If a party does not give this form, then registered documents of the property will not be given to them.

Although most of the sub-registrars have been sending this information till now, but due to workload, sometimes mistakes are made. In such a situation, it has become clear from the new instructions that action will be taken for ignoring the rules.

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Online process will provide relief:

Some sub-registrars have suggested that there should be a facility to upload the SSFT form on the Kaveri-2.0 portal, so that the buyer and seller can fill this form online themselves. This will make the work of both the department and the Income Tax Department easier and the hassle of manual process will also be reduced.

What does the law say?

If a person has bought or sold property worth Rs 10 lakh or more, or if the value of the property according to stamp duty is more than Rs 30 lakh, then it is necessary to give information about it. It is the responsibility of the Registration Department (Registrar/Sub-Registrar) to send information about such big transactions to the Income Tax Department. Its purpose is to increase tax transparency and curb black money.