Direct answer: A sale conducted through a General Power of Attorney — the so-called “GPA sale” — does not transfer ownership of immovable property. Ownership of land passes only through a registered sale deed under the Transfer of Property Act, 1882 and the Registration Act, 1908. The Supreme Court settled this in Suraj Lamp & Industries v. State of Haryana, holding that GPA/SA/Will transactions do not convey title. Buying “GPA property” gives you possession and paperwork, but not legal ownership.

Key Takeaways

• A Power of Attorney is an agency document. It authorises someone to act, and does not by itself transfer ownership of the property.
• The Supreme Court in Suraj Lamp held that GPA sales, agreement-to-sell plus POA, and Will-based “transfers” do not convey title to immovable property.
• Only a properly stamped and registered sale deed transfers ownership of land.
• GPA structures are typically used to avoid stamp duty or to move property with an unclear title — both of which become the buyer’s problem.
• A genuine, limited POA still has legitimate uses (an owner appointing someone to execute a registered sale on their behalf); the abuse is using a POA instead of a registered conveyance.

What a Power of Attorney actually does

A POA lets an agent do things on the principal’s behalf — sign documents, manage property, appear before authorities. It is a tool of representation, not a mode of transfer. When someone sells you land “on GPA”, they are handing you an authorisation to act, plus perhaps an unregistered agreement and possession. None of that makes you the owner in law.

What Suraj Lamp decided

The Supreme Court addressed the widespread practice of transferring property through a combination of General Power of Attorney, agreement to sell and a Will — used mainly to dodge stamp duty and registration. The Court held clearly that these instruments do not convey title, that a transfer of immovable property requires a registered deed, and that such practices should not be recognised as conveyances. In short: a GPA sale is not a sale.

Why people still do it

Two reasons, both bad for the buyer. First, to avoid stamp duty and registration cost — a saving that evaporates the moment ownership is challenged. Second, to move property whose title is unclear, disputed or non-transferable through the front door — meaning the defect the seller is escaping becomes the risk you inherit. If a deal is only possible “on GPA”, ask why a registered sale deed is not.

What you actually get — and do not

With a GPA sale you may get physical possession and a folder of documents. You do not get a title that a court, a bank or a future buyer will reliably recognise. You may struggle to get a home loan, to mutate the record into your name cleanly, or to resell without discount and doubt. And if the principal dies or revokes the POA, or a genuine heir surfaces, your position can collapse.

The safe path

Insist on a registered sale deed executed by the rightful owner (or by a properly authorised attorney who then executes a registered conveyance in your favour), preceded by a proper title search. Pay the stamp duty and registration — it is the cost of actually owning the land rather than merely occupying it. When a seller pushes GPA as a feature, treat it as a warning, not a discount.

This is general information, not legal advice. Consult a qualified advocate before entering any property transaction, particularly one structured around a power of attorney.

Frequently asked questions

Does a GPA sale transfer ownership of property?

No. A General Power of Attorney is an agency document that authorises someone to act; it does not transfer ownership. In Suraj Lamp & Industries v. State of Haryana the Supreme Court held that GPA, agreement-to-sell and Will transactions do not convey title — ownership of immovable property passes only through a registered sale deed.

What did the Suraj Lamp judgment decide about GPA sales?

It held that transferring property through a combination of General Power of Attorney, agreement to sell and a Will — used mainly to avoid stamp duty and registration — does not convey title. A transfer of immovable property requires a registered deed, so a GPA sale is not a sale.

Why do people still sell property on a GPA?

Two reasons, both bad for the buyer: to avoid stamp duty and registration cost, or to move property whose title is unclear or disputed. The apparent saving evaporates the moment ownership is challenged, and the title defect the seller is escaping becomes the buyer’s problem.

What do I actually get when I buy GPA property?

You may get physical possession and a folder of documents, but not a title that a court, a bank or a future buyer will reliably recognise. You may struggle to get a home loan, to mutate the record cleanly, or to resell without a discount — and if the principal dies or revokes the POA, your position can collapse.

Is a power of attorney ever legitimate in a property deal?

Yes. A genuine, limited POA lets an owner appoint someone to execute a registered sale deed on their behalf, which is legitimate. The abuse is using a POA instead of a registered conveyance to transfer ownership.

Direct answer: The Ready Reckoner rate — formally the Annual Statement of Rates — is the government-notified minimum value for land and property in Maharashtra, published area-wise every year by the Department of Registration and Stamps. It is the floor on which stamp duty and registration are calculated, it anchors capital-gains computation, and a transaction priced below it triggers tax consequences. It is one of the most consequential numbers in a land deal, and one of the least understood.

Key Takeaways

• The Ready Reckoner rate is a government-fixed minimum value, revised annually and notified zone-by-zone and often survey-number-specific.
• Stamp duty and registration are charged on the higher of your transaction value or the Ready Reckoner value — so the rate sets your minimum transaction cost.
• Buying below the Ready Reckoner value does not save duty and can create income-tax exposure for both buyer and seller under the relevant provisions.
• Maharashtra revised Ready Reckoner rates upward by an average of around 3.9% effective from April 2025, with further revision under discussion for the following year — so the floor moves.
• Always check the rate for the exact location and land category before pricing a deal.

What it actually is

Every year the State publishes a schedule of minimum values for immovable property, broken down by locality, and in urban areas down to fine geographic units. This is the Ready Reckoner. Its original purpose is to stop under-declaration of transaction values to dodge stamp duty. In practice it has become the reference value that touches almost every tax and cost in a property transaction.

How it sets your stamp duty

Stamp duty is charged on market value, and the Ready Reckoner is the presumed market value floor. If you buy a parcel for less than its Ready Reckoner value, you still pay duty on the Ready Reckoner figure. So the rate directly sets the minimum stamp duty and registration cost of your deal, regardless of what you negotiate.

The income-tax trap most buyers miss

The consequences do not stop at stamp duty. Where a property is transferred below the Ready Reckoner value beyond a tolerance band, income-tax provisions can treat the shortfall as deemed income — potentially in the hands of both the seller (on capital gains) and the buyer (as income from other sources). A “good deal” priced under the Reckoner can quietly convert into a tax bill. This is why the rate matters even when both parties are happy with the price.

It moves every year

The Ready Reckoner is not static. Maharashtra raised rates by an average of roughly 3.9% with effect from April 2025, and revisions in subsequent years have been actively discussed. Because the floor rises, a valuation you did eighteen months ago may understate today’s minimum. Always pull the current year’s rate for the specific location before finalising numbers.

How to use it well

Before you price or budget a land deal, look up the current Ready Reckoner value for the exact locality and land category. Use it to compute your minimum stamp duty and registration, to sense-check the seller’s asking price against the government’s own floor, and to avoid pricing below it in a way that creates tax exposure. Treated as a planning input rather than an afterthought, the Ready Reckoner stops surprises before they happen.

Rates are revised periodically and are location-specific. Confirm the current Ready Reckoner value and applicable tax provisions for your parcel with a qualified advisor before transacting. This is general information, not tax or legal advice.

Frequently asked questions

What is the Ready Reckoner rate in Maharashtra?

It is the Annual Statement of Rates — the government-notified minimum value for land and property, published area-wise every year by the Department of Registration and Stamps. It is the floor on which stamp duty and registration are calculated and it anchors capital-gains computation.

How does the Ready Reckoner rate affect my stamp duty?

Stamp duty and registration are charged on the higher of your transaction value or the Ready Reckoner value, so the rate sets the minimum stamp duty and registration cost of your deal regardless of the price you negotiate.

Can I save stamp duty by buying below the Ready Reckoner value?

No. Buying below the Ready Reckoner value does not save duty — you still pay on the Ready Reckoner figure — and where the price falls below it beyond a tolerance band, income-tax provisions can treat the shortfall as deemed income for both the seller and the buyer.

Did Maharashtra increase Ready Reckoner rates in 2025?

Yes. Maharashtra raised Ready Reckoner rates by an average of roughly 3.9% with effect from April 2025, with further revision discussed for subsequent years. Because the floor rises each year, an older valuation may understate the current minimum.

Where do I check the Ready Reckoner rate for a specific plot?

Look up the current year’s rate for the exact locality and land category through the Department of Registration and Stamps (IGR Maharashtra) before pricing or budgeting a deal, because the rate is notified zone-by-zone and is often survey-number-specific.

Direct answer: When you buy land in Maharashtra, stamp duty is levied under the Maharashtra Stamp Act, 1958 on the higher of your agreement consideration or the Ready Reckoner (Annual Statement of Rates) value of the parcel. The headline rate is broadly 5% of that value, but local body tax and a metro cess push the effective figure to 6%–7% in most urbanised parts of the Mumbai Metropolitan Region. Registration is charged separately at 1%, capped at ₹30,000 for higher-value deals.

Key Takeaways

• Stamp duty is a State subject. Maharashtra charges it under the Maharashtra Stamp Act, 1958, and the rate depends on where the land falls — municipal corporation, municipal council, cantonment or gram panchayat.
• The tax base is the market value, and the government presumes market value to be the Ready Reckoner rate. Pay below it and you still pay duty on the Ready Reckoner figure; the shortfall does not save you anything.
• A 1% metro cess applies in Mumbai, Pune, Thane, Nagpur and other metro-influence areas, and a 1% Local Body Tax applies in many municipal limits.
• Registration fee is 1% of value, subject to a ₹30,000 ceiling.
• The female-buyer concession of 1% that applies to residential property does not automatically extend to open land or plots — check how the instrument is described before you rely on it.

The base: agreement value vs Ready Reckoner value

The most common — and most expensive — misunderstanding is that stamp duty is charged on the price written in the agreement. It is not. Section 2(na) of the Act ties duty to market value, and the State fixes a floor for market value every year through the Ready Reckoner. If your agreement value is ₹80 lakh but the Ready Reckoner value of the parcel is ₹1 crore, duty is computed on ₹1 crore. This is why understanding the Ready Reckoner rate for the exact survey number matters before you sign anything.

The rate, built in layers

For land in a municipal corporation area the structure typically stacks up as: a base stamp duty of 5%, plus a 1% metro cess where notified, and in several jurisdictions a 1% Local Body Tax. That is how buyers in Mumbai and the built-up MMR belt commonly end up at an effective 6%–7%. In gram panchayat and less-urbanised areas the base can be lower and the cesses may not apply, which is one reason peripheral land carries a lower transaction cost. Because the notified cesses change, confirm the current combination for the specific taluka before you budget.

Registration charges

On top of stamp duty, the deed must be registered under the Registration Act, 1908. The registration fee is 1% of the value, but it is capped — so on a ₹3 crore parcel the registration fee is ₹30,000, not ₹3 lakh. This cap is easy to overlook when a broker quotes a scary-sounding “1% extra”.

Who pays, and when

By convention and by contract the buyer bears stamp duty and registration, though the parties are free to agree otherwise. Duty must be paid before or at the time of execution, and the instrument must be registered within four months of execution to avoid penalty. Stamp duty paid on an unregistered agreement to sale is adjustable against the final sale deed if the transaction completes — a detail worth flagging to your advocate so you are not charged twice.

Where buyers lose money

Three avoidable mistakes: budgeting duty on the negotiated price rather than the Ready Reckoner floor; assuming the female-buyer concession applies to raw land; and ignoring the metro cess and Local Body Tax that quietly add a full percentage point or two. On a ₹2 crore parcel, the difference between “5%” in your head and “7%” in reality is ₹4 lakh.

The bottom line

Treat stamp duty as roughly 6%–7% of the Ready Reckoner value in urbanised MMR and around 5% in gram panchayat land, add 1% registration up to the ₹30,000 cap, and verify the exact cess combination for the parcel’s jurisdiction before you commit. At THE EDGE we build this into the feasibility number from day one, because a surprise on transaction cost is a surprise on your entire return.

This article is general information, not legal or tax advice. Rates and cesses are revised periodically; confirm the current figures for your parcel with a qualified advocate or the Sub-Registrar before transacting.

Frequently asked questions

Is stamp duty charged on the agreement value or the ready reckoner value?

On the higher of the two. Maharashtra charges stamp duty on market value, and the Ready Reckoner rate is the presumed market-value floor. So if your agreement value is below the Ready Reckoner value of the parcel, duty is computed on the Ready Reckoner figure, not on the price you negotiated.

What is the stamp duty rate on land in Maharashtra in 2026?

The base stamp duty is broadly 5%, but a 1% metro cess and, in many municipal limits, a 1% Local Body Tax push the effective figure to about 6% to 7% across the urbanised Mumbai Metropolitan Region. Gram panchayat and less-urbanised land often carries a lower cost because those cesses may not apply.

How much is the registration charge on land in Maharashtra?

Registration is 1% of the value, capped at ₹30,000. On a ₹3 crore parcel the registration fee is therefore ₹30,000, not ₹3 lakh, so the cap matters on higher-value deals.

Does the 1% women-buyer concession apply to land or plots?

Not automatically. The 1% female-buyer stamp duty concession applies to residential property and does not automatically extend to open land or plots. Check how the instrument is described, and confirm with the Sub-Registrar, before relying on it for a land purchase.

When must a land sale deed be registered in Maharashtra?

Stamp duty is paid before or at the time of execution, and the instrument must be registered under the Registration Act, 1908 within four months of execution to avoid penalty.

By Girish Chhalwani, Founder & CEO, THE EDGE Developments · 20+ years in Maharashtra land acquisition · Reading time: 7 min · Last updated: 30 July 2026

Can a land dispute in Maharashtra be settled at a Lok Adalat?

Yes — a land dispute can be settled at a Lok Adalat if both parties agree to a compromise. A Lok Adalat is a statutory forum constituted under the Legal Services Authorities Act, 1987, where a pending court case or a pre-litigation grievance is resolved by mutual settlement rather than by a judgment imposed on the parties. Once the settlement is recorded, Section 21 of the Act makes the resulting award a decree of a civil court that binds everyone in the dispute, with no appeal against it.

The limitation is the same as its strength: a Lok Adalat works only where the parties are willing to settle. It cannot adjudicate a contested title, evict a trespasser against their will, or rule on a boundary that neither side will concede. For those, the mechanism returns the file to the regular court. Understanding that boundary is the difference between using a Lok Adalat well and wasting a hearing date.

The statutory basis: Legal Services Authorities Act, 1987

Lok Adalats are not an informal camp with no legal weight. They are established under Chapter VI (Sections 19 to 22) of the Legal Services Authorities Act, 1987, and organised by legal services authorities at the National, State, District and Taluka levels. In Maharashtra, the organising body is the Maharashtra State Legal Services Authority (MSLSA), based at the High Court (PWD) Building, Fort, Mumbai, working through District and Taluka Legal Services Authorities.

The four provisions that matter for a landowner:

• Section 19 — empowers the legal services authorities to organise Lok Adalats for such areas and jurisdictions as they decide.
• Section 20 — governs how a case is taken up (cognizance). A pending case can be referred with the parties’ agreement; a pre-litigation matter can be brought directly. Crucially, Section 20(5) provides that if no compromise is reached, no award is made and the record is returned to the court for disposal in accordance with law.
• Section 21 — every award is deemed to be a decree of a civil court, is final and binding on all parties, and no appeal lies against it. Where a pending case settles, the court fee already paid is refunded.
• Section 22 — gives the Lok Adalat the powers of a civil court under the Code of Civil Procedure, 1908, for summoning parties and examining records.

The Supreme Court has repeatedly held that this statutory finality leaves no room for an appeal or a fresh civil suit on the same settled matter — the only narrow route to challenge an award is a writ petition on limited grounds such as fraud. Treat a Lok Adalat award as you would a signed decree, because in law it is one.

Which land disputes are eligible — and which are not

Lok Adalats settle disputes that can be compromised; they do not decide disputes that must be adjudicated. This single rule sorts almost every land matter. The table below maps common Maharashtra land situations to the right forum and the realistic outcome.

The pattern is consistent: the moment a genuine contest exists that one side refuses to concede, the Lok Adalat has no jurisdiction to force an answer. Its value is speed and finality when the will to settle already exists — and that will is more common than owners assume once the cost and years of litigation are on the table.

How to take a land dispute to a Lok Adalat: step by step

The route differs slightly for a case already in court versus a fresh grievance, but the practical steps are:

1. Confirm the matter is compromisable. If you and the other party can reach terms, it qualifies. Non-compoundable criminal matters do not.
2. Choose the entry route. For a case already pending, apply to the court to refer it to the next Lok Adalat. For a pre-litigation dispute, approach the District or Taluka Legal Services Authority directly — no court case is needed.
3. File the reference/application. Submit the request with the case number (if pending) or the grievance details, along with the 7/12 extract, mutation entries, sale deed and identity documents that establish the parties’ interest.
4. Attend the National Lok Adalat sitting. National Lok Adalats are held on a single day across the country, organised roughly quarterly — the first 2026 sitting was held on 14 March 2026. Both parties (or their advocates) appear before the bench.
5. Negotiate the compromise before the bench. Members facilitate a settlement. If terms are agreed, they are reduced to writing and signed.
6. Receive the award. The signed settlement becomes an award — a decree of a civil court under Section 21, final and non-appealable. Any court fee on a pending case is refunded.
7. If no settlement is reached, the matter simply returns to court under Section 20(5). You lose nothing but the sitting; your legal position is unchanged.

Bawankule’s 2026 backlog drive: what is confirmed

Maharashtra’s Revenue Department, under Minister Chandrashekhar Bawankule, has made clearing the revenue and land-record backlog a stated 2026 priority. The confirmed, gazetted piece of this is decentralisation of land regularisation: by notification in May 2026, powers to regularise breaches of land conditions were delegated down from Mantralaya to District Collectors and Divisional Commissioners — Collectors handling penalty cases up to roughly Rs 10 lakh, Divisional Commissioners the Rs 10–20 lakh band, and Mantralaya retaining only the largest. The aim is to stop citizens travelling to the state capital for minor technical violations.

This runs alongside district-level revenue resolution campaigns and boundary-dispute drives that push long-pending grievances toward faster disposal. Lok Adalats and pre-litigation settlement are a natural channel for that backlog, because they convert a stalled file into a final decree in a single sitting. What we cannot independently confirm is a dedicated, named “Lok Adalat land-dispute drive” branded to the Minister for 2026 — treat any such specific claim as announced-only, and verify the current status and dates with the Maharashtra State Legal Services Authority or your District Legal Services Authority before acting.

“A Lok Adalat is the most under-used tool in Maharashtra land practice. Owners spend years in court over a boundary both sides privately admit is negotiable. The instant they agree, one sitting produces a decree that cannot be appealed — and the court fee comes back. The skill is knowing which of your disputes is actually a settlement waiting for a forum, and which genuinely needs a trial.”

— Girish Chhalwani, Founder & CEO, THE EDGE Developments

One-time / compromise settlement, in plain terms

A one-time settlement at a Lok Adalat means both sides accept a single, agreed resolution that closes the dispute permanently. There is no partial win to appeal, no next hearing, no execution battle years later — the award is directly enforceable as a decree. For a landowner this has three concrete benefits: certainty of title or possession going forward, refund of court fee on pending matters, and the removal of a cloud that would otherwise stall any sale, mutation or development of the plot. The trade-off is that you must be willing to concede something to reach terms; a Lok Adalat rewards pragmatism, not maximalism.

Frequently Asked Questions

Is a Lok Adalat award on a land dispute final, or can it be appealed?

It is final. Under Section 21 of the Legal Services Authorities Act, 1987, the award is deemed a decree of a civil court and no appeal lies against it. The only narrow challenge is a writ petition on limited grounds such as fraud; there is no ordinary appeal and no fresh suit on the same settled matter.

Which land disputes can and cannot be settled at a Lok Adalat in Maharashtra?

Compromisable matters can — boundary and possession differences where both sides agree, partition among consenting heirs, compensation and money claims, and pre-litigation revenue grievances. A contested title, an encroachment the occupier will not vacate, or a non-compoundable criminal matter cannot be decided; those go to the regular court.

What happens if the other party refuses to settle at the Lok Adalat?

Nothing is lost. Under Section 20(5) of the Act, if no compromise is reached no award is made, and the record returns to the court for disposal in the normal way. Your legal position stays exactly as it was before the sitting.

Do I need a pending court case to use a Lok Adalat?

No. A pending case can be referred to a Lok Adalat, but you can also bring a pre-litigation dispute directly to your District or Taluka Legal Services Authority without ever filing a suit. Pre-litigation settlement is one of the main uses Maharashtra’s legal services authorities promote.

Is court fee refunded if my land dispute settles at a Lok Adalat?

Yes, for a pending case. Section 21 provides that where a compromise is arrived at in a case referred to a Lok Adalat, the court fee already paid is refunded to the parties. Pre-litigation matters typically involve no court fee to begin with.

Get title certainty before you rely on any settlement

Related Reading

• Pillar: Maharashtra Land Records Portals: The Complete Directory of Government Websites
• Revenue Resolution Campaigns: Bawankule’s 2026 District-Level Land Dispute Drives
• Common Land Disputes in Maharashtra: Patterns, Causes & How to Avoid Them
• Statewide Boundary Dispute Campaign: Bawankule’s 2026 Push to Resolve Long-Pending Land Conflicts
• Case study: Infrastructure-Triggered Land Appreciation: The Karjat Corridor Case Study
• Contact: Speak with THE EDGE Developments

Citations & Sources

• Legal Services Authorities Act, 1987 (full text, Chapter VI, Sections 19–22) — India Code, Government of India: indiacode.nic.in/handle/123456789/19023
• Section 20 (Cognizance of cases by Lok Adalats), including sub-section (5) — Indian Kanoon: indiankanoon.org/doc/74943406
• Section 21 (Award of Lok Adalat — finality and court-fee refund) — Indian Kanoon: indiankanoon.org/doc/139325262
• National Lok Adalat schedule and disposal (14 March 2026 sitting) — National Legal Services Authority (NALSA): nalsa.gov.in/lok-adalat/national-lok-adalat
• Maharashtra State Legal Services Authority — organising body and reported case-settlement figures — overview: en.wikipedia.org/wiki/Maharashtra_Lok_Adalat
• Bawankule delegates land-regularisation powers to District Collectors (gazette, May 2026) — Deccan Chronicle: deccanchronicle.com

Statutory sections verified against India Code and Indian Kanoon on 30 July 2026. The 2026 Revenue Department reforms are stated as announced/gazetted; confirm the current status of any Lok Adalat-specific drive and sitting dates with the Maharashtra State Legal Services Authority before acting.

By Girish Chhalwani, Founder & CEO, THE EDGE Developments · 20+ years in Maharashtra land · 9 min read · Last updated 30 July 2026

What is deemed NA (auto-NA) conversion in Maharashtra?

Deemed NA conversion means that agricultural land whose intended non-agricultural use is already permitted under the applicable Development Plan or Regional Plan is treated as converted to NA without the landowner having to obtain a separate non-agricultural (NA) order from the Collector. Instead of a standalone conversion sanad, the planning permission or building-plan approval issued by the Planning Authority itself carries the change of use. This is the “auto-NA” idea Revenue Minister Chandrashekhar Bawankule described as an ease-of-doing-business reform when the change was placed before the state legislature.

The reform matters because the old route was slow: even land plainly earmarked for residential or commercial use in a sanctioned plan still needed a Collector’s NA order, arrears of annual NA assessment, and a sanad before anything could be built. Deemed NA removes that duplicate step where the planning framework has already decided the land’s use.

The legal basis: the MLRC (Second Amendment) Act, 2025

The change sits in the Maharashtra Land Revenue Code (Second Amendment) Act, 2025, which substituted Section 42 of the Maharashtra Land Revenue Code, 1966. Legal analyses of the amendment record that it was introduced in December 2025 and received the Governor’s assent on 31 December 2025, with an implementing Government Resolution reported as dated 10 February 2026. The substituted Section 42 provides that where the intended NA use is permissible under the draft or final DP/RP, the Development Control Regulations or other instruments under the MRTP Act, no permission of the Collector is required to change the use from agricultural to non-agricultural.

In the same amendment, the earlier deemed-conversion provisions (Sections 42A, 42B, 42C and 42D) and the sanad/NA-permission machinery (Sections 44, 44A, 45, 46 and 47A) were repealed, and Section 47 was recast to introduce a one-time conversion premium in place of recurring NA assessment. Because this is very recent, treat the exact section and GR references as “as announced” and confirm the current position with the Collector or Town Planning office for your parcel.

Deemed NA vs full NA conversion: how they differ

The practical distinction is whether the planning framework has already permitted your intended use. Where it has, you fall in the deemed/auto-NA lane and skip the Collector’s separate NA order; where your use is not covered by the plan, or the land sits outside a planned area, the older full-application logic still matters. The table compares the two.

Is NA assessment still payable under deemed NA?

Yes — a charge to the state is still payable, but its form has changed from a recurring annual NA assessment to a one-time conversion premium. Legal commentary on the 2025 amendment reports the recast Section 47 premium as roughly 0.1% of market value for plots up to 1,000 sq m, about 0.25% for 1,001–4,000 sq m, and about 0.5% above 4,000 sq m, calculated on the current market value (Ready Reckoner / Annual Statement of Rates). Deemed NA is therefore not a fee waiver — it removes a procedural step, not the premium.

These figures are as reported for recently-notified reform. Do not budget a specific parcel on them alone: confirm the applicable rate, slab and any transitional charge for land converted earlier with the Collector or the Planning Authority. Where a parcel had accumulated arrears under the old annual-assessment system, the amendment also addressed pending dues — another point to verify against the operative GR.

What deemed NA does NOT do

Deemed NA does not override zoning. If the Development Plan or Regional Plan puts your land in a Green Zone, No-Development Zone, or any use your proposed activity does not fit, the deemed route does not help — the use must first be permissible. It also does not replace building-plan sanction, environmental or CRZ clearances, height and FSI limits, or title diligence. It removes the duplicate Collector NA order where planning has already permitted the use; every other approval stands. Confirm the zone on the sanctioned plan before assuming a parcel qualifies.

“The auto-NA reform is one of the most useful things to happen to Maharashtra land in years — but it is being mis-sold. It does not turn farmland into buildable plots by magic. It removes a redundant Collector step where the Development Plan already permits your use. Read the sanctioned plan first, confirm the zone, then celebrate. We still confirm every parcel’s section and GR position with the Collector before we advise a client to build on it.”

— Girish Chhalwani, Founder & CEO, THE EDGE Developments

What landowners should do now

1. Check the zone. Confirm your land’s reservation and permissible use on the draft or final DP/RP for the area.
2. Confirm the current legal position. Ask the Collector or Town Planning office whether your parcel falls under the substituted Section 42 deemed route and which GR applies.
3. Model the premium. Get the one-time conversion premium computed on the current Ready Reckoner value for your plot size.
4. Pull a fresh 7/12 and record. Confirm ownership and any existing NA/arrears entries before you proceed.
5. Get planning/building approval. Under the deemed route, this approval is what carries the conversion — treat it as the operative document.

Frequently Asked Questions

What is deemed NA conversion in Maharashtra?

Deemed NA (auto-NA) means agricultural land whose intended use is already permissible under the applicable Development Plan or Regional Plan is treated as non-agricultural without a separate Collector conversion order. The Planning Authority’s development or building-plan approval carries the change of use.

Which law introduced the auto-NA reform?

The Maharashtra Land Revenue Code (Second Amendment) Act, 2025 substituted Section 42 of the MLRC, 1966 and repealed the older deemed-conversion provisions. As this is recent, confirm the exact section and the operative Government Resolution with the Collector or Town Planning office for your parcel.

Do I still pay NA assessment under deemed NA?

You no longer pay the recurring annual NA assessment, but a one-time conversion premium is payable under the recast Section 47, reported at 0.1% to 0.5% of market value depending on plot size. Confirm the current rate and slab with the Collector, as figures may change.

How is deemed NA different from a full NA conversion application?

Deemed NA applies when the plan already permits your use, so no separate Collector NA order is needed. A full NA conversion application is the traditional route for uses not covered by a sanctioned plan, or for land outside a planned area, and it requires the Collector’s permission and a sanad.

Does deemed NA mean any farmland can now be built on?

No. Deemed NA only removes the duplicate Collector step where the Development Plan or Regional Plan already permits the intended use. It does not override zoning, and land in a Green Zone or No-Development Zone does not qualify. Building sanction and other clearances still apply.

Related Reading

• Maharashtra Land Records Portals: The Complete Directory of Government Websites
• NA Conversion Process in Maharashtra: Cost, Timeline & Step-by-Step Guide (2026)
• NA Conversion Online via Aaple Sarkar: Applying for Non-Agricultural Land Use in Maharashtra
• Land Zoning in MMR: R-Zone, Green Zone and No-Development Zone Explained
• Infrastructure-Triggered Land Appreciation: Karjat Corridor Case Study
• Contact THE EDGE Developments

Citations & Sources

• The Maharashtra Land Revenue Code amendment bill (Bill No. 97 of 2025), full text, PRS Legislative Research — prsindia.org
• Maharashtra Department of Land Records (Bhumi Abhilekh) — bhumiabhilekh.maharashtra.gov.in
• Aaple Sarkar (RTS) portal for Revenue Department services and applications — aaplesarkar.mahaonline.gov.in
• Mahabhumi — Settlement Commissioner & Director of Land Records, Maharashtra — mahabhumi.gov.in