ANDHRA PRADESH

AGRICULTURAL
LAND(CONVERSION FOR NON-
AGRICULTURAL PURPOSES)
ACT, 2006
Conversion' means change of land use from agricultural to non-agricultural
purposes.

(a) Agriculture means

(i) The raising of any crop or garden
produce (or)
(ii) The raising of orchards (or)
(iii)The raising of pasture (or)
(iv)The Hay-ricks
 With effect on and from the date of
Commencement of this act, every owner or
occupier of Agriculture Land Shall have to pay a
conversion fee for Non agricultural purposes at
the rate of 10% of the basic value of the land in
areas as may be notified by the Government from
time to time.
Basic Value' means the land value entered
in the Basic Value Register notified by
Government from time to time and
maintained by the Sub-Registrar.
* No Agricultural land in the State shall
be put to Non-Agricultural Purposes,
without the prior permission of the
Competent Authority.
* An Application for such Conversion of the
Agricultural land for Non-Agricultural
purposes shall be made before the
competent authority in the form prescribed
along with conversion fee as specified under
Section 4.
 Competent Authority to convert
Agricultural land for Non-Agricultural
purpose

* The Revenue Divisional Officer or any officer

to be notified by the Government in this
behalf shall be competent to order, in respect
of the lands situated within his territorial
jurisdiction, conversion of land use from
agricultural purpose to non-agricultural
purpose.
 If any Agricultural land has been put to
Non-Agricultural purpose without obtaining
the permission as required under Section 3,
the land shall be deemed to have been
converted into non-agricultural purpose.
Upon such deemed conversion, the
competent authority shall impose a fine of
50% over and above the conversion fee for the
said land specified under Section 4 in such
manner as may be prescribed.
Act not to apply to certain lands:
 
(a) Lands owned by the State Government.

(b) Lands owned by a local authority and used for any

communal purposes so long as the land is not used for
commercial purposes.
(c) Lands used for religious or charitable purposes.
 
(d) Lands used by owner for household industries involving
traditional occupation, not exceeding one acre.
 
(e) Lands used for such other purposes as may be notified
by the Government from time to time.
  
Procedure for Application for Conversion

(i) The application for conversion of the Agriculture land

for Non-Agriculture purposes shall be made in the
form at Annexure-'A'.
 
(ii) Nonces for payment of deficit conversion fee shall be
in the form at Annexure-'B'.
 
(iii) The permission for acceptance of applicationshall be
in form at Annexure-'C'.
Procedure for Application for Conversion
(i) The application for conversion of the Agriculture land for Non-Agriculture
purposes shall be made in the form at Annexure-'A'.
ANNEXURE A
To
 The Competent Authority and
 Revenue Divisional Officer,
 Division, District.
 
 Sir,
  
Sub:- Land Conversion Act-............Village, Mandal, District-Sy.No. Ext.- Conversion of Agricultural land to Non-
Agricultural Purpose-Request-Regarding.
  
I............S/o................R/o.......................Submit that I am the Pattadar of Agricultural lands in Survey.No. of
Village...................Mandal......................District to an extent of Acs. Gts./Cts. 1 would like to convert Agricultural land
specified in the Schedule into Non-Agricultural purpose. I request the Competent Authority to accord necessary
permission for the conversion of the said agricultural lands to Non-Agriculture purpose in terms of Section 4 of the
Andhra Pradesh Agricultural Land (Conversion for Non-Agricultural purposes) Act, 2006 (A.P.Act No. 3 of 2006). I
enclose herewith a copy of challan bearing No.............dated:.............for Rs................(Rs..............only) paid to the
Government Treasury of............. (V)/Town/
 
City @ 10% basic value of the land towards conversion fee.
  
I hereby declare that the lands mentioned above are neither covered by any litigation/ court cases/encroachment nor
these lands are assigned lands/ULC Surplus land/ Agricultural Ceiling Surplus Land/Tank bed lands.
 
  Your's faithfully,
File No.
 Dated: ANNEXURE-B

 Sub:-
 
Ref:- Your application dated:
 
 Sri..............S/o................R/o..........is hereby informed that as per your application-
referred above, you have applied for conversion of Acs...... Gts./Cts............You have
paid conversion fees along with your application. Rs...... But, the basic value of the
land as on the date of application for conversion applied for is Rs..........The total
conversion fee works out to Rs............. Hence, there is a deficit conversion fee
amounting to Rs.... Therefore, you are directed to remit the deficit amount of Rs. (Rs.
only) towards conversion fee to Non-Agricultural purpose within fifteen (15) days
form the date of receipt of this notice. If you fail to remit this deficit amount, your
application shall not be processed further and will returned to you after thirty (30)
days.
 
Competent Authority & R.D.O..............: Divn, To Sri...........S/o.............R/o.
 
Copy to the Mandal Revenue Officer, (M)............Divn...............Dist.
Procedure to Be followed by the Competent Authority
 
The Competent Authority i.e. Revenue Divisional Officer who receive the
applications for conversion of Agricultural Land for Non-Agricultural purposes:-
(a) may cause such enquiry as may be necessary to determine whether the
conversion applied for is objectionable or not.
 
(b) may invite objections in this regard, if necessary.
 
(c) may inspect or cause inspection of the land in order to determine whether or not
the proposed conversion is objectionable.

 (d) shall take cognizance of the Master Plan and such other land use restrictions
in determining whether the proposed conversion is objectionable or not.
 
(e) shall thereafter proceed to pass orders, ordering or rejecting the proposed
conversion.
  

(i) For the purpose of calculation of conversion fee the basic value as notified by Government from
Mode of payment for Conversion Fee

time to time, for the land as on the date of application shall be taken into account.
 
(ii) The applicant shall pay the conversion fee prescribed under Section 4 of the Act by way of
Challan payable into the Government treasury as specified by the Government from time to time to
the relevant head of account,
 
(iii) Any person desires to ascertain the basic value, such person shall apply to the Competent
Authority for furnishing of such basic value for such Survey No. Area etc., and the competent
authority shall furnish such information within (15) days from the date of receipt of application.
 
(iv) In case of deemed conversion, the date for the purpose of calculation of basic value shall be the
date earliest of the following dates:
 
(1)Date of detection of conversion by Competent Authority.
(2)Date of entry in to Village accounts by Village Officer/Panchayat Secretaries.
(3)Date of application by Owner/ Occupiers.

Order of Permission
 
The competent authority shall issue necessary permission for conversion in the form at Annexure-'C'.
 The Regular Process for Land Conversion from
Agricultural Land to Non- Agricultural land is being
followed as per the procedure given under the A.P
Agricultural Land Conversion for Non- Agricultural
purposes Act-2006.
Step 1:The applicant has Calculate the OTC Tax amount
required to be has paid as Conversion fee @2% of Basic Value
of proposed land in Vijayawada Corporation &
Visakhapatnam Municipal Corporation and @3% of basic
Value in all other areas
He has take the details of the basic value from the web
site of Registration Department registration. ap.gov.in The
information can also be taken by applicants from the
 
Office of the Sub Registrar.
 Step 2: The applicant has to pay the
OTC Tax to the Government either by
paying Challan in the OTC head of
account 0035-101 -01 -001 or by paying
the amount In the online gateway after
paying the OTC tax, the applicant has to
obtain The challan copy or e-
Payment receipt.
Step 3: A new Mee Seva service is launched under
category A on 06.03.2018 the titte ” Land
Conversion New (G.O.No 98). " The availability of
such services Communicated to all MeeSeva
centres by Director ESD office. The applicant has to
file application under this service and shall
mandatorily Submit the intimation of payment in
Annexure- A (as per G.O.Ms. 98 Revenue (DA &
LR) Department, dt: 19.02.2018 and photo copy of
challan or e-payment receipt in the MeeSeva
Centre.
Step 4: The MeeSeva Operator on successful
payment user Charges will generate a “Receipt
of intimation of payment for Land Conversion"
across the counter and will provide it to
applicants and no separate orders of RDO are
required, (The draft format of “receipt of
intimation” is provided to ESD office and the
receipt will be automatically generated in
electronic format along with facsimile
signature of concerned RDO/ SubCollector.)
Step5: After obtaining such receipt, the
applicant is entitled to convert the
Agricultural Land immediately into specified
Non-Agricultural Purpose. However, this
conversion is subject to conditions
mentioned in Go.Ms.No.98 Revenue (DA &
LR) Department dt.19.02.2018
Step 6: As per ruIe 6 of A.P. Agriculture Land
Conversion for Non- Agricultural Purposes) Rules
2018."The Competent Authority or any other officer
Authorized by him shall have power to enter upon,
inspect, measure the land do such ether act or acts as
are necessary for verification of the area applied for
conversion and deficit payment of conversion tax under
the Act, lands prohibited for conversion and to ascertain
about the title of the land after the above procedure
duly giving Advance notice to the applicant".
Step7: Aggrieved the shall have
the right to file complaint to
CCLA & Special C.S as per rule of
G.O Ms No.98 Revenue (DA&LR)
Department, dt: 19.02.2018
especially in case of deceitful
conversion to protect the interest
of Government.
Step8:The district Collector Concerned shall
reviewed every three months on the use of
lands so converted whether the converted
lands are used for intended purpose. The
district collector has submit the quarterly
report in Annexure C format of G.o Ms No.98
prefarably by April 5th, July 5th, Oct 5th, and
Jan 5th for every respective quarter.
 
Penalty
(i) In case it has come to the notice of the competent authority that any Agricultural Land
has been converted to Non-Agriculture purpose without obtaining any prior permission by
any owner or occupant of such agricultural land, the same shall be deemed to have been
converted into Non-Agriculture purpose and action shall be taken to levy such lands with
such penalty as prescribed under Section 6 of the Act;
 
(ii) The Competent Authority shall issue notices the owner/occupier of Agriculture Land
deemed to have been converted to Non-Agriculture use Under Section 6(1) calling upon him
to pay 50% penalty over and above the Conversion fee in the form at Annexure-'D' giving
him time of (30) days to remit into Government account through a challan as specified at
sub-rule (ii) of Rule 6. Provided that a show cause notice shall be issued by the competent
authority to the said owner or occupant of such agricultural land calling for explanation
within fifteen (15) days as to why the penalty as provided under Section 6(2) shall not be
imposed for conversion of Agricultural Land into Non-Agricultural purposes without
obtaining prior permission. On receipt of such explanation, the competent authority has to
decide the actual extent of land converted into Non-Agricultural purpose and issue
proceedings in the form Annexure-E informing the total amount including the penalty and
the land conversion fee payable within fifteen (15) days from the date of receipt of such
demand notice. If, any fee and penalty remains un-paid, within the time specified by the
competent authority such fee and penalty is liable to be recovered under the provisions of
the Revenue Recovery Act, 1864.
Thank you,
Any further quaries …..?