Bihar has rolled out a major overhaul in land registration procedures starting today, mandating PAN cards for all property deals valued at 10 lakhs or more. This directive from the state’s Excise, Prohibition, and Registration Department aims to inject transparency into high-value transactions and clamp down on tax evasion.
The new rule lowers the threshold significantly from the previous 30 lakh limit, affecting sales of land, houses, and commercial properties across urban and rural areas. Deputy Inspector General of Registration Sanjay Kumar issued strict instructions to sub-registrars statewide, with immediate compliance enforced. In Purnia, Sub-Registrar Uma Shankar Mishra confirmed the office has put up notices and will reject documents without PAN or alternatives like Form 60/61 for those without it.
This move follows concerns raised by the Income Tax Department about untracked high-value deals slipping through without proper identification. Small plots, shops, and homes over 10 lakhs were often registered anonymously, allowing sellers and buyers to evade income tracking. Now, digital records will link transactions to tax profiles, curbing black money flows in real estate.
For deals exceeding 50 lakhs, buyers must deduct 1% TDS and remit it to authorities, with penalties jumping to 20% for non-compliance. Industry watchers say this will deter fraudulent sales and duplicate registries, benefiting genuine buyers wary of disputes. The government stands to gain from boosted revenue and cleaner property markets, marking a bold step toward financial accountability in Bihar’s booming realty sector.