Amendment status not verified — confirm the current text below against the official source.
Finance Commission.- (1) The Finance Commission constituted by the State Government under articles 243-I and 243-Y of the Constitution of India read with section 98 of the Himachal Pradesh Panchayati Raj Act, 1994 shall review the financial position of the municipalities and make recommendations to the Government as to - (a) the principles which should govern- (i) the distribution between the State Government and the municipalities of the net proceeds of taxes, duties, tolls and fees leviable by the State, which may be divided between them and the allocation between the municipalities at all levels of their respective shares of such proceeds ; (ii) the determination of the taxes, tolls and fees which may be assigned to, or appropriated by, the municipalities ; (iii) the grants-in-aid to the municipalities from the Consolidated Fund of the State ; (b) the measures need to improve the financial position of the municipalities; (c) any other matter referred to the Finance Commission by the Government in the interest of sound finances of the municipalities. (2) The Government shall cause every recommendations made by the Finance Commission under this section together with an explanatory memorandum as to the action taken thereon to be laid before the Legislature of the State. CHAPTER - VI TAXATION 1[65. Rate of tax on lands and buildings.—(1) Save as otherwise provided in this Act, the unit area rate of tax on lands and buildings within the municipal area shall be between one per cent to twenty five per cent of the ratable value of land and building, as may be determined by the municipality from time to time: Provided that the municipality may exempt wholly or partially or levy lower rate of tax on the lands and buildings or portion thereof, which is exclusively used for the purpose of public worship and the area of vacant lands and buildings or portion thereof, exclusively used for the purpose of public burial or as a cremation ground, or any other place used for the disposal of dead. ___________ 1.Section 65 substituted vide Act No. 32 of 2011. 56 (2) Such other tax, at such rates, as the State Government may, by notification, in each case direct: Provided that no tax shall be imposed under sub-section (2) unless an opportunity has been given in the prescribed manner to the residents of the municipal area or to the affected parties to file objections and the objections, if any, thus received have been considered.] 1[66. Fee, tolls and users charges.— The municipality may impose fee, tolls and user charges for the services provided by it at such rate and in such manner as may be determined by the municipality from time to time.]