Amendment status not verified — confirm the current text below against the official source.
Basic tax grant. - (1) The government shall pay annually, as recommended by the Finance Commission, to each Panchayat at the village level in the State a grant, which shall be equal as nearly as may be three by eight, of the amount of basic tax collected by the Government in the last preceding year from that panchayat area. (2) The Government may, after considering the area, population, available financial resources and the requirement for development, etc., of the village panchayats and the expense for administration of panchayats, also provide an amount 146 147 148 149as nearly as may be three by eighth that may be prescribed by Government in proportion to the balance amount already collected by Government as basic tax from the entire land of the state for the preceding year, as grant for the village panchayats of the State. 149[(3) The Government shall, for every year provide, as nearly as may be equal to three by tenth of the amount of basic tax as collected from the district panchayat area in the just previous year, as grant for the Block Panchayats of the Districts; (4) The Government shall, for every year, provide to every district panchayat an amount as nearly as may be one by fifth of the basic tax collected from the concerned district panchayat area for the just previous year, as grant.] 150[203. Property Tax. - (1) every village panchayat shall in accordance with the rules prescribed for the purpose levy a property tax on all buildings and land appurtenant 146 Added by Act 13 of 1999. 147 Omitted by Act 13 148 Substituted by Act 149 I bid. thereto situated within the panchayat area and not exempted under this Act at such percentage as may be determined by the village panchayat on the net annual value determined on the basis of the plinth area and considering the site of the building, its use, type of construction and other determined factors: Provided that in the case of buildings given on rent, tax shall be levied by adding twenty-five percentage also for the net annual value calculated according to plinth area]150 151 (2) The building tax shall be levied annually and be payable in two equal half yearly instalments. (3) The building tax, and the surcharge on building tax, if any levied under section 208, shall subject to the prior payment of the land revenue, if any, due to the Government in respect of the site of the building, be a first charge upon the building and up on the movable property, if any, found within or upon the same and belonging to the person liable to such tax. (4) The Government may make rules providing for, - (i) the manner of ascertaining the net annual rental value of building on the categories in to which they fall for the purposes of taxation: (ii) the person who shall be liable to pay tax and the giving of notices of transfer of buildings; (iii) the grant of exemption from tax on the ground of property. (iv) the grant of vacancy and other remissions; and (v) the circumstances in which and the conditions subject to which buildings constructed, reconstructed or demolished or situated in areas included in, or excluded from, the panchayat area during any half year, shall be liable or cease to be liable to the whole or any portion of the tax. 2[(vi) method of fixing the annual value of property based on the plinth area of the building; (vii) maximum tax to be paid by the assessee; (viii) returns to be filed by the owners of the buildings; (ix) rate of deduction to be allowed based on the age and use of the buildings.] 150 Substituted by Act 13 of 1999. 151 Added by Act 13 of 1999. (5) If the occupier of a building pays the building tax on behalf of, the owner thereof, such occupier shall be entitled to recover the same from, the owner and may deduct the same from the rent then or there after due by him to the owner. 204.Profession tax. - (1) The profession tax shall subject to such rules as may be prescribed be levied every half year in every village panchayat area on - (i) every company which transacts business in such panchayat area for not less than sixty days in the aggregate in that half year; and (ii) every person who, in that half year - (a) exercise a profession, art or calling, or transacts business or holds any appointment, public or private - (1) within such panchayat area for not less than sixty days in the aggregate, or (ii) outside in such panchayat area but who resides in it for not less than sixty days in the aggregate, or (b) resides in such panchayat area for not less than sixty days in the aggregate and is in receipt of any income from investments. (2) The profession tax shall be levied at such rates as may be fixed by the village panchayat not exceeding the maximum rates prescribed. (3) A person shall be chargeable under the class appropriate to his aggregate income from all the sources specified in sub section (1) as being liable to the tax. (4) If a company or person proves that it or he has paid the sum due on account of the profession tax levied under this Act, or profession tax levied under any law for the time being in force governing Municipalities in the State or any tax of the nature of a profession tax imposed under the Cantonment Act, 1924, for the same half year to any Panchayat or Nagar Panchayat or Municipal Council or Municipal Corporation or Cantonment authority in the State, such company or person shall not be liable by reason merely of change of place of business, exercise of profession, art or calling appointment or residence, to pay to any other panchayat, Nagar Panchayat, Municipal Council or Municipal Corporation or Cantonment authority in the State more than the deference between such sum and the amount to which it or he is otherwise liable for the profession or companies tax for the half year under this Act or the law governing Municipalities or Cantonment. (5) Nothing contained in this section shall be deemed to render a person who resides within the local limits of one local authority and exercises this profession, art or calling or transacts business or holds any appointment within the limits of any other local authority or authorities liable to higher profession tax for more than the higher of the amounts of tax leviable by any of the local authorities. In such cases the tax shall be levied by the local authority which levied the higher rate of tax and shall be apportioned among local authorities in such proportion as may be prescribed: Provided that where one of the local authorities concerned is a Cantonment authority or the Port authority of a major port the decision of the local authorities shall be subject to the concurrence of the Central Government obtained in such manner as may be prescribed. (6) The profession tax leviable from a firm or association may be levied from the agent of the firm or association as the case may be. (7) (a) If a company or person employs a servant or agent to represent it or him for the purpose of transacting business in any local area of a Village Panchayat such company or person shall be deemed to transact business in that local area, and such servant or agent shall be liable for the profession tax in respect of the business of such company or person whether or not such servant or agent has power to make binding contracts on behalf of such company or person. (b) Where one company or person is the agent of another company or person, the former company or person shall not be liable separately to the profession tax on the same income as that of the principal.