Registration records the sale deed at the sub-registrar's office and is what transfers ownership in law. Mutation updates the municipal or revenue record to the new owner's name, mainly so that property tax or land revenue is charged to them. Mutation does not create title, but skipping it causes problems later.
Side by side
Factor
Mutation
Registration
Purpose
Update the tax or revenue record
Record the transfer deed under the Registration Act
Office
Municipal body or revenue office (tehsil)
Sub-registrar
Creates title
No
Registration of a valid deed transfers title
Order
After registration
First
Fees
Set by the municipal body or state
Stamp duty and registration fee set by the state
Local names
Dakhil-kharij, intkal, khata transfer, name transfer
Registration
If skipped
Tax bills and notices go to the old owner; later sales and loans are harder
The transfer is not effective
When Mutation matters
Apply for mutation soon after registration so tax and revenue records, and later sales, are in your name.
When Registration matters
Registration comes first: without a registered deed, the property has not been transferred.
In more detail
Courts have repeatedly held that an entry in the revenue record is not proof of title; it shows who pays the revenue. That is why a buyer checks both the registered deed chain and the current mutation entry.
Some states now send registered transfers to the revenue or municipal office automatically; others need a separate application. Ask at the registration whether you need to apply.