Loading...
Are you looking for a legal research tool ?
Get Started
Do check other products like LIBIL, a legal due diligence tool to get a litigation check report and Case Management tool to monitor and collaborate on cases.

RAJASTHAN FINANCE ACT, 1998

RAJASTHAN FINANCE ACT, 1998

RAJASTHAN FINANCE ACT, 1998

Preamble - RAJASTHAN FINANCE ACT, 1998

THE RAJASTHAN FINANCE ACT, 1998

[Act No. 08 of 1998]

[31st July, 1998]

PREAMBLE

An Act further to amend the Rajasthan Sales Tax Act, 1994 the Rajasthan Entertainments and Advertisements Tax Act, 1957, the Rajasthan Tax on Luxuries (in Hotels and Lodging Houses) Act, 1990, the Rajasthan Taxation Tribunal Act, 1995, the Rajasthan Stamp Law (Adaptation) Act, 1952, the Rajasthan Excise Act, 1950, the Rajasthan Tax on Luxuries (Tobacco and its Products) Act, 1994, the Rajasthan Motor Vehicles Taxation Act, 1951, the Rajasthan Local Fund, Audit Act, 1954 and the Rajasthan Lands and Building Tax Act, 1964 in order to give effect to the financial proposals of the State Government for the financial year 1998-99 and to make certain other changes.

Be it enacted by the Rajasthan State Legislature in the Forty-ninth Year of the Republic of India as follows:--

 

Chapter I - PRELIMINARY

 

Section 1 - Short title

This Act may be called the Rajasthan Finance Act, 1998.

 

Section 2 - Commencement

It shall come into force at once.

 

Chapter II - AMENDMENTS IN THE RAJASTHAN SALES TAX ACT, 1994

 

Section 3 - Amendment of section 17, Rajasthan Act No. 22 of 1995

For the existing sub-section (3) of section 17 of the Rajasthan Sales Tax Act, 1994 (Act No. 22 of 1995) hereinafter referred to in this chapter as the principal Act, the following shall be substituted, namely:--

"(3) where the said authority is satisfied that the application for registration is complete in all respects in accordance with such rules as may be prescribed and is accompanied by a proof of payment of fee of Rs. 100/-, he shall register the applicant and grant him a certificate of registration in the prescribed form, subject to the provisions of sub-section (5)."

 

Section 4 - Amendment of section 26, Rajasthan Act No. 22 of 1995

For the existing sub-section (5) of section 26 of the principal Act, the following shall be substituted, namely:--

"(5) Where a dealer discovers any omission or error in any return furnished by him under sub-section (1), he may furnish a revised return within such time as may be prescribed not exceeding 365 days after the close of the year to which it relates, and the burden of proving that the omission or the error was bonafide, shall be on such dealer."

 

Section 5 - Amendment of section 31, Rajasthan Act No. 22 of 1995

After the existing sub-section (7) of section 31 of the Principal Act, the following new sub-section shall he inserted, namely:--

"(8) The assessing authority may, suo-motu or on an application of the casual trader, filed within 30 days of the date of deposition or realisation of tax, review or revise any order passed or action taken by the subordinate official, authorised under subsection (7)."

 

Section 6 - Amendment of section 85, Rajasthan Act No. 22 of 1995

In section 85 of the principal Act.-

(a)      in sub-section (1),-

 

(i)       in clause (a), the existing expression "sub-section (2) of, shall be deleted;

 

(ii)      in clause (b), the word "and" occurring in the end, shall be deleted;

 

(iii)     after existing clause (b) and before existing clause (c), the following new clause shall be inserted, namely:--

"(bb) an order passed by the Commissioner or a Deputy Commissioner (Administration) under subsection (2) of section 30; and

(b)      in sub-section (2),

 

(i)       for the word "dealer" occurring after the word "Any" and before the words "aggrieved by", the word "person" shall be substituted;

 

(ii)      after the expression "clause (a), (b)" and before the word "and" the expression "(bb)" shall be inserted; and

 

(c)      in sub-section (3), for the words "The Commissioner or Deputy Commissioner" occurring before the words "authorised specially or generally", the expression "Notwithstanding anything contained in sub-section (2), the Commissioner or a deputy Commissioner (Administration)" shall be substituted.

 

Section 7 - Amendment of section 86, Act No. 22 of 1995

In subsection (2) of section 86 of the principal Act, after the expression "sub-section (11) of section 85" and before the expression "direct any officer or incharge", the expression "or under sub-section (1) of section 37" shall be inserted.

 

Section 8 - Amendment of section 96, Act No. 22 of 1995

In sub-section (2) of section 96 of the principal Act, for the word "form" occurring after words "in the prescribed" and before the words "and on payment of", the word "manner" shall be substituted.

 

Chapter III - AMENDMENTS IN THE RAJASTHAN ENTERTAINMENTS AND ADVERTISEMENTS TAX ACT, 1957

 

Section 9 - Amendment of section 3, Rajasthan Act No. 24 of 1957

In the existing section 3 of Rajasthan entertainments and Advertisements Tax Act, 1957 (Act No. 24 of 1957), hereinafter referred to in this chapter as the principal Act,-

(a)      the existing clause (3A) shall be renumbered as clause (3AA) and in clause (3AA) so renumbered, for the expression "Rajasthan Sales Tax Act, 1954", the expression "Rajasthan Sales Tax Act, 1994 (Act No. 22 of 1995)" shall be substituted;

 

(b)      after the existing clause (3) and before the renumbered clause (3AA), the following new clause shall be inserted, namely:--

"(3A) "appellate authority" means the Deputy Commissioner, Commercial Taxes appointed as appellate authority under the provisions of the Rajasthan Sales Tax Act, 1994 (Act No. 22 of 1995),";

(c)      after the existing clause (8) and before the existing clause (9), the following new clause shall be inserted, namely:--

"(8A) "Sales Tax Act" means the Rajasthan Sales Tax Act, 1994 (Act No. 22 of 1995),";

(d)      in the existing clause (11), for the punctuation mark"," appearing at the end, the punctuation mark"," shall be substituted and thereafter the following new clauses shall be added, namely:--

"(12) "Tax Board" means the Rajasthan Tax Board constituted under section 90 of the Rajasthan Sales Tax Act, 1994 (Act No. 22 of 1995); and

(13) "Tribunal" means the Rajasthan Taxation Tribunal constituted under the Rajasthan Taxation Tribunal Act, 1995 (Act No. 19 of 1995).".

 

Section 10 - Amendment of section 5A, Rajasthan Act No. 24 of 1957

In sub-section (1) of section 5A of the principal Act, for the words "prescribed officer" wherever occurring, the words "prescribed authority" shall be substituted.

 

Section 11 - Amendment of section 5B, Rajasthan Act No. 24 of 1957

After the existing section 5B of the principal Act, the expression "as may be prescribed," shall be deleted.

 

Section 12 - Insertion of new section 5BB, Rajasthan Act No. 24 of 1957

After the existing section 5B and before the existing section 5C of the principal Act, the following new section shall be inserted, namely:--

"5BB. Period within which assessment shall be completed.--

(1)     Without prejudice to the provisions of section 5-C, no assessment under section 5-B shall be made after the expiry of twenty four months from the end of relevant assessment month for which assessment has become due; however, the Commissioner may, for reasons to be recorded, in a particular case, extend such time limit by a period not exceeding six months:

Provided that the assessments pending on the date of commencement of the Rajasthan Finance Act, 1998 (Act No. 8 of 1998), shall be completed upto March 31st, 1999 or within the period specified above, whichever is later.

(2)     Notwithstanding anything contained in sub-section (1), where an assessment is done in consequence of or to give effect to any order of an appellate authority or the Tax Board or the Tribunal or a competent court, as the case may be, it shall be completed within two years of the communication of such order to the prescribed authority; however, the Commissioner may, for reasons to be recorded, in any particular case, extend such time limit by a period not exceeding six months.".

 

Section 13 - Amendment of section 9 Rajasthan Act No. 24 of 1957

For the existing section 9 of the principal Act, the following shall be substituted, namely:--

"9. Modes of recovery.--

(1)     Without prejudice to other provisions of this Act, where any amount of the tax or penalty or interest or any other sum payable under the provisions of this Act is not paid in accordance with the provisions of this Act or the rules made or notifications issued thereunder, it shall be recoverable as arrears of land revenue.

 

(2)     Notwithstanding anything contained in sub-section (1), the provisions of special mode of recovery under section 53 of the Sales Tax Act shall mutatis mutandis apply in the case of recovery of tax including penalty and interest or any other sum due under this Act.".

 

Section 14 - Insertion of new section 9-B and 9-C, Rajasthan Act No. 24 of 1957

After the existing section 9A and before the existing section 10 of the principal Act, the following new sections shall be inserted, namely:--

"9-B. Grant of Installments.--

The prescribed authority may subject to such conditions and restrictions as may be prescribed, in respect of a particular proprietor, for reasons to be recorded, extend the date of payment of any demand under this Act and allow the proprietor to pay the same in installments.

9-C. Power to reduce or waive interest and penalty in certain cases.--

(1)     Notwithstanding anything contained in this Act, the Commissioner may on an application made in this behalf by a proprietor and after having conducted such enquiry as he deems necessary and after recording his reasons for so doing reduce or waive, the amount of interest or penalty or both payable by the said proprietor under this Act, if he is satisfied that-

 

(a)      a proprietor is under financial hardship and is not in a position to make full payment of the demand; or

 

(b)      to do otherwise would cause genuine hardship to a proprietor.

 

(2)     Every order made under this section shall be final and shall not called into question before any civil court or any other authority.".

 

Section 15 - Amendment of section 10, Rajasthan Act No. 24 of 1957

In section 10 of the principal Act,-

(a)      for existing clause (b) of sub-section (3), the following clause shall be substituted, namely:--

"(b) The proprietor of an entertainment who-

(i)       fails to pay the tax due from him under this Act within the prescribed time, or

(ii)      fraudulently evades the payment of tax due from him under this Act, or

 

(iii)     contravenes any of the provisions of this Act or the rules framed there under, for which no other penalty has been provided under this Act, shall be liable to pay by way of penalty?

 

(i)       in respect of cases referred to in clause (a) and sub-clause (i) of clause (b) regarding entertainment tax, in addition to the amount of tax payable by him, a sum not exceeding Rs. 100/- per person;

 

(ii)      in respect of cases referred to in sub-clause (i) of clause (b) regarding advertisement tax and in respect of cases referred to in sub-clause (iii) of clause (b), in addition to the amount of tax payable by him, a sum not exceeding Rs. 500/-; and

 

(iii)     in respect of cases referred to in sub-clause (ii) of clause (b) in addition to the amount of tax payable by him a sum not exceeding Rupees five hundred or double the amount of tax evaded whichever is higher";

 

(b)      sub-section (5) shall be deleted.

 

Section 16 - Amendment of section 10-A Rajasthan Act No. 24 of 1957

In sub-section (1) of section 10-A of the principal Act, for the expression "section 3" occurring in the end, the expression "section 4" shall be substituted.

 

Section 17 - Amendment of section 11, Rajasthan Act No. 24 of 1957

In section 11 of the principal Act,-

(a)      for existing sub-section (3) the following shall be substituted, namely:-

"(3) The proprietor aggrieved by an order made under sub-section (1) by the District Magistrate may, within sixty days from the date on which the order is served in accordance with the provisions of sub-section (2), appeal to the State Government and the decision of the State Government thereon shall be final and conclusive."; and

(b)      sub-section (4) shall be deleted.

 

Section 18 - Amendment of section 13, Rajasthan Act No. 24 of 1957

In sub-section (1A) of section 13 of the principal Act, for the words "a prosecution" appearing after the words "examination thereof or for" and before the expression "under sub-section (4)" the words "imposing a penalty" shall be substituted.

 

Section 19 - Insertion of new sections 13A, 13B, 13C, 13D, and 13E, Rajasthan Act No. 24 of 1957

After the existing section 13 and before the existing section 14 of the principal Act, the following new sections shall be inserted, namely:--

"13-A. Appeal to appellate authority.--

(1)     An appeal against any order passed under sections 5B, 5C, 10(3), 13E(3) or under rule 15 of the Rajasthan Entertainments and Advertisements Tax Rules, 1957 shall be to the appellate authority.

 

(2)     The appeal shall be presented, in the manner prescribed, within sixty days of the date on which the order sought to be appealed against or notice of demand, as the case may be, is served on the proprietor or the person concerned, however, the appellate authority may condone the delay if it is satisfied that the appellant has sufficient cause for not preferring the appeal within the said period.

 

(3)     No appeal under this section shall be entertained unless it is accompanied by a satisfactory proof of the payment of tax or other sum admitted by the appellant to be due from him or of such installments thereof as might have become payable or twenty percent of the tax or other amount assessed; whichever is higher, but the appellate authority may, for reasons to be recorded, waive or relax the requirement of depositing the aforesaid amount.

 

(4)     Where an appeal under this Act has been filed, the appellate authority may, on an application in writing from the appellant, subject to sub-section (3), stay the recovery of the disputed amount of tax, penalty or interest or any part thereof, for a period not exceeding two years but not for more than six months at a time, on the condition that the appellant furnishes adequate security to the satisfaction of the prescribed authority.

 

(5)     The appeal shall be in the prescribed form and shall be verified in the prescribed manner.

 

(6)     The following shall have the right to be heard at the time of hearing of the appeal-

 

(a)      the appellant either in person or his authorised representative;

 

(b)      the authority of officer against whose order the appeal has been preferred either in person or his representatives.

 

(7)     The appellate authority may, before disposing of any appeal, make such further enquiry as it thinks fit or may direct the prescribed authority or the officer against whose order appeal has been preferred, to make further enquiry and report the result of the same to him and while disposing of the appeal, the appellate authority may-

 

(a)      in the case of an order of assessment, interest or penalty-

 

(i)       confirm, enhance, reduce or annul the assessment, interest or penalty; or

 

(ii)      set aside the assessment, interest or penalty and direct the assessing authority to pass fresh order after such further enquiry as per his directions; and

 

(b)      in the case of any other order confirm, cancel, vary such order or set aside such order and remand the matter with such directions as he deems fit.

 

(8)     The appellate authority shall send a copy of the order passed by it, while disposing the appeal, to the proprietor of the entertainment, the authority concerned, the Deputy Commissioner (Administration) concerned and the Commissioner.

13-B Appeal to the Tax Board.--

(1)     An appeal shall lie to the Tax Board against any order passed by an appellate authority.

 

(2)     Any proprietor aggrieved by any order passed by an appellate authority may file an appeal within ninety days of the date on which the order sought to be appealed against is communicated to him in writing.

 

(3)     The Commissioner or any officer authorised by him, in this behalf, if objects to any order referred to in sub-section (1), may direct the concerned prescribed authority to file an appeal to the Tax Board and such authority shall file such appeal under his signature within one hundred and eighty days of the date on which the order sought to be appealed against is communicated in writing to the Commissioner.

 

(4)     The Tax Board may admit an appeal after the expiry of the limitation specified in sub-section (2) and (3), if it is satisfied that there was sufficient cause for not presenting the same within limitation.

 

(5)     An appeal under this section shall be heard by a single bench consisting of the Chairman or any other member of the Tax Board.

 

(6)     The Tax Board shall issue notice of the date fixed for hearing to the appellant and to the respondents and such notice may either be delivered personally or may be sent by registered post.

 

(7)     Where an appeal under sub-section (1) has been preferred by the proprietor to the Tax Board, the tax, interest or penalty shall be paid in accordance with the order against which appeal has been preferred, unless recovery of such tax, interest or penalty has been stayed by the Tax Board.

 

(8)     The Tax Board may, on an application in writing from the proprietor, stay the recovery of the disputed amount of tax, interest or penalty or any part thereof for a period not exceeding two years but not more than six months at a time, on the condition of furnishing adequate security to the satisfaction of the prescribed authority and the amount found ultimately due shall be subject to interest from the date it became first due, in accordance with the provisions of this Act.

 

(9)     The Tax-Board shall send a copy of the order passed by it under this section to the proprietor and also to the Commissioner.

13-C. Revision to Tribunal.--

(1)     Any proprietor aggrieved by an order made by the Tax Board may, within ninety days from the date of communication of such order apply to the Tribunal in the prescribed form accompanied by the prescribed fee, for revision of such order on the ground that the case involves a question of law.

 

(2)     The Commissioner may, if he fee is aggrieved by any order made by the Tax Board, direct the concerned prescribed authority to apply to the Tribunal for revision of such order on the ground that the case involves a question of law, and such authority shall make the application to the Tribunal within one hundred and eighty days of the date on which the order sought to be revised is communicated in writing to the Commissioner.

 

(3)     The application for revision under sub-section (1) or sub-section (2) shall precisely state the question of law involved in the case, and it shall be within the competence of the Tribunal to formulate the question of law in any form or to allow any other question of law to be raised.

 

(4)     The Tribunal shall after hearing the parties to the revision, decide the question of law stated to it or formulated by it, and shall thereupon pass such order as is necessary to dispose of the case.

 

(5)     Subject as aforesaid, any person considering himself aggrieved by an order under sub-section (4) may apply for a review of the order to the Tribunal and the Tribunal may make such order thereon as it thinks fit.

13-D. Revision by the Commissioner.--

(1)     The Commissioner may call for and examine the record of any proceeding of a prescribed authority under this Act, and if he considers that any order passed therein by a prescribed authority, against which no appeal has been preferred before the appellate authority, is erroneous or is prejudicial to the interest of the State revenue, he may, after making or causing to be made such enquiry as he considered necessary and after giving to the proprietor a reasonable opportunity of being heard, pass such order as the circumstances of the case justify.

 

(2)     No order or direction under sub-section (1) shall be passed or issued by the Commissioner if a period of five years has already elapsed from the date on which the order sought to be revised was passed.

Explanation.- In computing the period of limitation for the purpose of this sub-section, any period during which any proceeding under this section was stayed by an order of any competent authority or court shall be excluded.

(3)     Notwithstanding anything contained in sub-section (2) an order in revision under this section may be passed at any time if such order has to be passed in consequence of or to give effect to any finding or direction contained in an order of the Tribunal, the High Court of the Supreme Court.

13E. Rectification of mistakes.-

(1)     With a view to rectify any mistake apparent from the record, any officer appointed or any authority constituted under the Act or the rules made thereunder may amend suo moto or otherwise any order passed by him.

Explanation.- A mistake apparent from the record shall include an order which was valid when it was made and is subsequently rendered invalided by an amendment of the law having retrospective operation or by a judgment of the Supreme Court. Rajasthan High Court, Tribunal of Tax Board,

(2)     No rectification under this section shall be made after the expiry of four years from the date of the order sought to be rectified.

(3)     No order of rectification which has the effect of increasing the liability of a proprietor in any way, shall be made without affording him an opportunity of being heard.".

 

Section 20 - Amendment of section 18, Rajasthan Act No. 24 of 1957

In sub-section (2) of section 18 of the principal Act,-

(a)      for the existing clause (kkk), the following shall be substituted, namely:-

"(kkk) for prescribing fees, forms, manner of filling appeal, revision and memorandum of appeal and the manner of hearing and disposal of appeal"; and

(b)      the existing clause (kkkk) shall be deleted.

 

Section 21 - Amendment of section 19A, Rajasthan Act No. 24 of 1957

in sub-section (1) of section 19A of the principal Act, for the expression "Rajasthan Panchayat Samitis and Zila Parishads Act, 1959" the expression " Rajasthan Panchayati Raj Act, 1994 (Act No. 13 of 1994)" shall be substituted.

 

Chapter IV - AMENDMENTS IN THE RAJASTHAN TAX ON LUXURIES (IN HOTELS AND LODGING HOUSES) ACT, 1990

Section 22 - Amendment of section 2, Rajasthan Act No. 9 of 1996

in sub-section (1) of section 2 of the Rajasthan Tax on Luxuries (in Hotels and Lodging House) Act, 1990 (Act No. 9 of 1996),-

(a)      in clause (b), the expression "telephone", occurring after the expression "air conditioning," and before the expression "television," shall be deleted;

 

(b)      in clause (i), the expression "telephone," occurring after the expression "geysers," and before the expression " television," shall be deleted; and

 

(c)      for clause (i), the following shall be substituted, namely--

"(j) Luxury Tax Officer" means the Assistant Commissioner or the Commercial Taxes Officer including the Assistant Commissioner, or the Commercial Taxes Officer, (Antievasion) appointed or posted by the State Government in the Commercial Taxes Department;".

 

Chapter V - AMENDMENTS IN THE RAJASTHAN TAXATION TRIBUNAL ACT, 1995

 

Section 23 - Amendment of the Schedule, Rajasthan Act No. 19 of 1995

 In the Schedule appended to the Rajasthan Taxation tribunal Act, 1995 (Act No. 19 of 1995), after the existing entry at S. No. 12, the following new entry shall be inserted and shall be deemed to have been inserted on and from 12th March, 1997, namely:-

"13 the Rajasthan Tax on Luxuries (in Hotels and Lodging Houses) Act, 1990. 9 of 1996"

 

Chapter VI - AMENDMENTS IN THE RAJASTHAN STAMP LAW (ADAPTATION) ACT, 1952

 

Section 24 - Amendment of Article 55 of the Second Schedule, Rajasthan Act No. 7 of 1952

 In Article 55 of the Second Schedule of the Rajasthan Stamp Law (Adaptation) Act, 1952 (Act No. 7 of 1952), for the existing clause (a), the following shall be substituted namely:-

"(a) if the release is made of ancestral property in favour of brother or sister (children of renouncer's parents) or son or daughter or son of pre-deceased son or daughter of a pre-deceased son or father or mother or spouse of the renouncer.

one hundred rupees,".

 

Chapter VII - AMENDMENTS IN THE RAJASTHAN EXCISE ACT, 1950

 

 

 

Section 25 - amendment of section 9-B Rajasthan Act No. 2 of 1950

For the existing section 9-B of the Rajasthan Excise Act, 1950 (Act No. 2 of 1950), hereinafter referred to in this chapter as the principal Act, the following shall be substituted, namely:-

"9-B Bar of jurisdiction of civil courts.--

No civil court shall have jurisdiction to entertain any suit or proceeding to set aside or modify,-

(a)      any original order passed by an officer competent to do so under the provisions of this Act; or

 

(b)      any order passed under, or referred to in, section 9-A."

 

Section 26 - Amendment of section 40, Rajasthan Act No. 2 of 1950

After the existing proviso to Section 40 of the principal Act, the following new proviso shall be added, namely:-

"Provided further that not with standing any thing to the contrary contained in any law for the time being in force, the amount recoverable under this section, shall be the first charge on the property of such person liable for payment of said amount.".

 

Section 27 - Amendment of section 70, Rajasthan Act No. 2 of 1950

In sub-section (1) of section 70 of the principal Act, for the words "not exceeding rupees ten thousand" occurring after the words "a sum of money" and before the words "in lieu of such cancellation", the expression "not less than Rs. 5,000/- but not exceeding 10 times of the annual licence fee in respect of manufacturing units/bonds and wholesale vends etc. and not more than two times of exclusive privilege amount in case of liquor and beer shops alongwith other levies applicable from time to time" shall be inserted.

 

Chapter VIII - AMENDMENTS IN THE RAJASTHAN TAX ON LUXURIES (TOBACCO AND ITS PRODUCTS) ACT, 1994

 

Section 28 - Amendment of section 2, Rajasthan Act No. 11 of 1994

In sub-section (2) of section 2 of the Rajasthan Tax on Luxuries (Tobacco and its Products) Act, 1994 (Act No. 11 of 1994), hereinafter referred to in this chapter as the principal Act, for the expression "Rajasthan Sales Tax Act, 1954 (Act No. 29 of 1954)", the expression "Rajasthan Sales Tax Act, 1994 (Act No. 22 of 1995)" shall be substituted.

 

Section 29 - Amendment of section 6, Rajasthan Act No. 11 of 1994

In section 6 of the principal Act, for the expression "Rajasthan Sales Tax Act, 1954 (Act No. 29 of 1954), the expression "Rajasthan Sales Tax Act, 1994 (Act No. 22 of 1995)" shall be substituted.

 

Section 30 - Amendment of section 7, Rajasthan Act No. 11 of 1994

In section 7 of the principal Act, for the expression "Rajasthan sales Tax Act, 1954" wherever occurring, the expression "Rajasthan Sales Tax Act, 1994" shall be substituted.

 

Chapter IX - AMENDMENT IN THE RAJASTHAN MOTOR VEHICLES TAXATION ACT, 1951

 

Section 31 - Amendment of section 4, Rajasthan Act no. 11 of 1951

In section 4 of the Rajasthan Motor Vehicles Taxation Act, 1951, hereinafter referred to in this chapter as the principal Act, for the existing sub-section (2) of Section 4, the following shall be substituted, namely:--

"(2) A tax shall be payable under this section by the owner of motor vehicle except for the period during which the owner surrenders the certificate of registration to the taxation officer, in the prescribed manner, that the vehicle has remained out of use for such reasons as may be prescribed, or satisfies the taxation officer that vehicle has not been used due to following reasons:-

(i)       that the motor vehicle was restrained from plying by the competent court or authority,

 

(ii)      that the motor vehicle was involved in an accident and a report to this effect was made to the police and because of accident it remained out of use,

 

(iii)     that the motor vehicle was attached for the recovery of tax under the Rajasthan Land Revenue Act, 1956 (Act No. 15 of 1956) by the competent authority or attached under the warrant of attachment issued by the competent authority or court and during the period of attachment the vehicle did not remain in his possession:

Provided that the period of such surrender of the period of such non-use, as the case may be, shall be for a period of not less than one month:

Provided further that if the vehicle is found plying after the certificate of registration has been surrendered, the owner shall pay the tax for the entire period during which the certificate of registration remained surrendered.".

 

Section 32 - Amendment of section 4-B, Rajasthan Act No. 11 of 1951

In the existing sub-section (1) of section 4-B of the principal Act,-

(a)      for the expression "Rs. 1000/-" appearing after the expression "which shall not exceed" and before the expression "per day in respect of", the expression "Rs. 2,000/-" shall be substituted;

 

(b)      for the expression "not exceeding 2% of the cost" appearing after the expression "permits of this State, and" and before the expression "of the chassis/vehicle", the expression "not exceeding 5% of the cost" shall be substituted.

 

Section 33 - Amendment of section 5, Rajasthan Act No. 11 of 1951

For the existing section 5 of the principal Act, the following shall be substituted, namely:-

"5. Payment of Tax.-

(1)     Save as otherwise provided by or under this Act and subject to the provisions of sub-section (2), the tax leviable under Section 4 and section 4-B shall be paid by every owner or by the person having possession or control of a motor vehicle in advance in the manner prescribed by the State Government:

Provided that the State Government may, if satisfied that there are sufficient reasons for doing so, by notification in the Official Gazette, extend whether prospectively or retrospectively the time limit for payment of tax in case of particular classes of vehicles or persons liable to pay tax under this Act.

(2)     Where the tax on any motor vehicle becomes payable otherwise than as one time tax payable by the non-transport vehicles, for the first time after the commencement of a financial year, the tax payable shall be one twelfth of the annual rate for each calendar month or part thereof where annual rate is prescribed:

Provided that where the tax under section 4-B on stage carriage other than those plying exclusively on city routes becomes payable for the first time after the commencement of any month, the tax payable shall be for the remaining period of that month on pro rata basis.

(3)     The tax payable under clause (b) of subsection (1) of section 4 shall be payable-

 

(a)      Where the motor vehicle is purchased or brought into the State for use or in kept for use on or after the coming into force of the provisions of Chapter IX of the Rajasthan Finance Act, 1998 (Act No. 8 of 1998), within thirty days of the date of such purchase or of being so brought or on the date of registration or assignment of such vehicle in the State, whichever is earlier; or

 

(b)      where the motor vehicle has been used or kept for use in the State before the coming into force of the provisions of Chapter IX of the Rajasthan Finance Act, 1998 (Act No. 8 of 1998) within sixty days of such coming into force.

 

(4)     Where a motor vehicle is found plying even after the surrender of the certificate of Registration, the tax on such vehicle shall be payable forthwith for the entire period for which such certificate was surrendered.".

 

Section 34 - Amendment of section 6, Rajasthan Act, No. 11 of 1951

For the existing sub-section (1) of section 6 of the principal Act, the following shall be substituted, namely.-

"(1) Where the tax due in respect of a motor vehicle is not paid within the period allowed, the defaulter shall be liable to pay in addition to the tax due, a penalty at such rate as may be prescribed by the State Government, by notification in the Official Gazette, which shall not exceed 5% per month of the amount of tax due for each month or part thereof from the date of expiry of the period allowed:

Provided that the penalty shall in no case be less than rupees one hundred and more than double the amount of tax due.".

 

Section 35 - Amendment of section 8, Rajasthan Act No. 11 of 1951

for the existing section 8 of the principal Act, the following shall be substituted, namely:-

"8. Declaration by person keeping vehicle for use.-

(1)     The owner or any person having possession or control of any motor vehicle shall make a declaration in respect of every motor vehicle in the prescribed form and shall deliver to the Taxation Officer within prescribed period, ever time, or whenever he becomes liable to pay tax, as may be specified in the notification published by the State Government in the Official Gazette, alongwith the receipt of payment of such tax in the prescribed manner.

 

(2)     Where owing to any alteration of the motor vehicle or otherwise, the owner or any person having possession or control of the vehicle liable to payment of tax a higher rates, such owner or any person having possession or control shall make within the prescribed period, an additional declaration. In the prescribed form, showing the nature of the alteration made and stating reasons thereof, and shall deliver it to the Taxation Officer and shall pay to him the difference of tax for which he becomes liable to pay in respect of such vehicle.

 

(3)     Where the owner of the vehicle who becomes liable to make or deliver a declaration under the provisions of sub-section (1) or (2), fails to do so, the Taxation officer on being satisfied that a default has been committed by the owner of the vehicle, shall impose a penalty at such rates as may be prescribed by the State Government which shall not exceed Rs. 5/- per day.".

 

Section 36 - Amendment of section 13-B, Rajasthan Act No. 11 of 1951

In sub-section (1) of section 13-B of the principal Act, the punctuation mark "." appearing at the end shall be omitted and after such omission the expression "as also penalty, if any, and/or interest levied by the Taxation Officer." shall be added.

 

Section 37 - Amendment of section 14, Rajasthan Act No. 11 of 1951

In sub-section (2) of section 14 of the principal Act,-

(a)      in the existing first proviso, after the word "aggrieved" and before the word "make", the word "by the order of the appellate authority." shall be inserted; and

 

(b)      for the existing second proviso, the following shall be substituted, namely:--

"Provided further that no appeal shall be entertained unless it is accompanied by satisfactory proof of payment of 50% of the amount due, under the order against which appeal has been preferred, or such other amount as is admitted by the appellant to be due from him whichever is higher or of such instalment thereof, as might have become payable and further that the appellate authority shall not stay recovery of tax.".

 

Chapter X - AMENDMENTS IN THE RAJASTHAN LOCAL FUND AUDIT ACT, 1954

 

Section 38 - Amendment of section 3, Rajasthan Act No. 28 of 1954

In section 3 of the Rajasthan Local Fund Audit Act, 1954 (Act No. 28 of 1954);

(i)       for the existing clause (b), the following shall be substituted, namely:-

"(b) "Chairman" means the President, Chairman, Mayor of a municipal institution; Zila Pramukh, Pradhan, or Sarpanch of a Panchayati Raj Institution or Chairperson of any other local authority, by whatever name called, and in case of a dissolved or superseded local authority, the person or persons lawfully appointed to exercise the powers and perform the duties of such local authority;";

(ii)      after the existing clause (d) and before the existing clause (e), the following clause shall be inserted, namely:-

"(dd) "local authority" shall mean a Municipal Board, Council, Corporation, a Zila Parishad, a Panchayat Samiti, a Panchayat or other authority legally entitled to or entrusted by the Government with the control or management of a municipal or local fund, and shall include, a society registered under the Rajasthan Societies Registration Act, 1958 (Act No. 28 of 1958); and such other institutions, boards, agencies or bodies as also subsidiaries thereof, constituted under any Rajasthan law, which are in receipt of financial grant, subsidy, funds or financial assistance in any form from the Government;";

 

Chapter XI - AMENDMENTS IN THE RAJASTHAN LANDS AND BUILDINGS TAX ACT, 1964

 

Section 39 - Amendment of section 2 Rajasthan Act No. 18 of 1964

In the second proviso to clause (10) of section 2 of the Rajasthan Lands and Buildings Tax Act, 1964 (Act No. 18 of 1964), hereinafter referred to in this chapter as the principal Act, for the expression "thirty years," appearing after the expression "for a term not less than" and before the expression "the lessee shall", the expression "twenty years" shall be substituted.

 

Section 40 - Amendment of section 6, Rajasthan Act No. 18 of 1964

For the existing clause (g) of section 6 of the principal Act, the following shall be substituted, namely:-

"(g) any land or building or portion thereof owned, and solely used by an educational institution imparting education upto VIIIth standard and that only for purposes of education, which includes housing of students and offices of the institution, and any land or building used for public parks, public libraries, public museums or used as play ground attached to schools.".

 

Section 41 - Amendment of section 11, Rajasthan Act No. 18 of 1964

In sub-section (1) of section 11 of the principal Act, for expression "he shall serve a notice" appearing after the expression "information under section 9" and before the expression "on the owner in respect of", the expression "or 22, he shall serve a notice, alongwith valuation report," shall be substituted.

 

Section 42 - Amendment of section 17-A, Rajasthan Act, No., 18 of 1964

In section 17-A of the principal Act, for expression "at the rate of one and half percent per month" appearing after the expression "such amount" and before the expression "or part thereof,", the expression "at the rate of 15% per annum" shall be substituted.