N.A. plots stand for Non Agricultural plots.
Since India is still a predominantly agricultural country, all land here has been considered as agricultural land by default (except old gaothan area – localities where construction already existed). Construction activity of any kind is not permitted on agricultural land as per the existing law. As the population of India increased, there was a need to convert some of this agricultural land into residential land. These agricultural plots, which were converted into residential plots, are called as N.A. plots or non agricultural plots. Only the state government has the authority to convert agricultural land into N.A. land / plots on the recommendation of the respective Town Planning Committee or the city / town corporations. All the state governments periodically review the necessity to convert agricultural land into NA plots, and issue a decree.
It is important to note that an individual cannot request to convert plots to N.A. plots on his / her own, it can be done only when the state government decides to convert such plots into residential zones. The state government undertakes such reviews from time to time and recommends the land that can be converted to non agricultural land.
If you want to build a custom bungalow, a villa, a farm house, commercial complex or virtually anything else, the first criterion is that the plot should be an N.A. plot.
Fee to Convert to N.A. Plots
Since all land in India is deemed to be agricultural land by default, it is necessary to pay a fee to convert agricultural plots into N.A. plots. This fee is paid by either by the buyer or the seller at the collector’s office of the respective city / town (e.g. Pune, Mumbai, Karjat, etc.). These fees vary from state to state, and also from time to time. It should also be noted that these fees have to be paid to the State every year. In other words, even if you built anything on the plot that has been declared as NA, you need to pay NA tax every year. The NA tax is however, quite nominal.