I am buying a bda site in Bangalore. Seller has given me all documents and tax paid receipt for 2014-2015. Seller has not paid the tax for 2015- 2016? Should I go ahead and buy the property. The broker said it will take some time as this is year end as bda is not collecting taxes as of now. They will collect from next week. Is it okay if seller has not paid property tax? Can a seller sell such property? Are their any penalties
If you have planned to buy the property, have you verified all the link title documents, up to date EC, khatha, have you obtained legal opinion from a knowledgeable advocate about the marketable title to the vendor and any other encumbrance. You should not decide about buying just seeing the documents produced before you, a lawyer will be knowing the defects in the document while scrutinising the same. Therefore mere tax receipts will not confer title to the properties. Tax receipts can be obtained on anyone's name by bribing the revenue department staff.
The BDA will ot say that they will not collect the tax when offered to pay them across the counter. In fact they accept even advance tax, so dont go by the words of brokers or the vendors in this regard, why should he not pay the tax when he is due for it. Actually the tax for 2015-16 should have been paid by now, there is something fishy in the subject, better be careful about it and dont take any decision in haste.