New Property Transactions in Karnataka

Karnataka Government’s Initiative to Tackle Property Fraud

In a significant move to prevent property-related fraud, the Karnataka government has announced plans to verify Permanent Account Numbers (PAN) and passport details during property registration. Revenue Minister Krishna Byre Gowda revealed the initiative during a discussion on the Karnataka Stamp (Amendment) Bill 2025 in the state Assembly on Wednesday.

The government has sought the support of the Income Tax Department and the Ministry of External Affairs (MEA) to authenticate the documents. This step is aimed at tackling the growing cases of impersonation and fraudulent property registrations in the state.

Fake PAN Cards Used for Property Registration: Minister Reveals

During the discussion, Minister Gowda highlighted the alarming issue of fake PAN cards being used for property registration. Responding to a query from JD(S) Legislature Party leader Suresh Babu, Gowda confirmed that the use of forged identification documents had become a widespread concern.

“We have come across instances where fraudulent PAN cards were being used in property registrations. To address this, we are collaborating with the Income Tax Department and the Ministry of External Affairs to authenticate PAN and passport details during registration,” the minister stated.

Role of Income Tax Department and MEA in Verification

The Karnataka government’s collaboration with the Income Tax Department and the MEA will ensure a thorough verification process. Here’s how the two departments will contribute:

• Income Tax Department: It will verify the authenticity of PAN cards used during property registration. This will prevent individuals from using forged or duplicate PAN cards to carry out illegal property transactions.
• Ministry of External Affairs: For property deals involving Non-Resident Indians (NRIs) or foreigners, the MEA will authenticate passport details. This measure is intended to reduce fraudulent transactions involving fake or expired passports.

How the PAN and Passport Verification Will Work

The verification process will involve real-time authentication of PAN and passport details through an integrated system linked with the databases of the Income Tax Department and the MEA. This will enable property registration offices to cross-check the validity of the documents before proceeding with the transaction.

Key Features of the Verification Process:

• Real-time Validation: Property registration authorities will have access to the PAN and passport databases for instant verification.
• Preventing Fake Documentation: The move will prevent the use of counterfeit PAN cards or passports, reducing the chances of fraudulent registrations.
• Enhanced Transparency: The verification system will add a layer of transparency and reliability to the property registration process.

Impact of the Amendment on Property Transactions in Karnataka

The introduction of PAN and passport verification is expected to have a significant impact on property transactions in Karnataka:

• Reduced Fraudulent Registrations: The initiative will significantly reduce cases of property fraud by preventing the use of forged identification documents.
• Increased Confidence: Genuine property buyers and sellers will benefit from a more secure and transparent registration process.
• Deterrent to Forgers: Fraudsters and impersonators will find it difficult to exploit loopholes in the registration system, thereby deterring criminal activity.

The Karnataka government’s decision to verify PAN and passport details during property registration marks a crucial step towards combating fraud. With the support of the Income Tax Department and the Ministry of External Affairs, the state aims to create a more transparent and secure property registration system. This move is expected to safeguard the interests of genuine buyers and sellers while deterring fraudulent practices.