[1][THE KERALA PANCHAYAT RAJ (TAXATION, LEVY AND APPEAL)
RULES, 1996 In exercise of the powers conferred by Section 210
and 241 of the Kerala Panchayat Raj Act, 1994 (13 of 1994). read with Section
254 thereof, the Government of Kerala hereby make the following rules, namely: (1)
These rules may be called the Kerala Panchayat Raj
(Taxation, Levy and Appeal) Rules, 1996. (2)
They shall come into force at once In
these rules, unless the context otherwise requires. (a)
'Act' means the Kerala Panchayat Raj Act, 1994 (13 of
1994); [2][(aa)
"Panchayat" means a Village Panchayat constituted under clause (a) of
sub section (1) of section 4 of the Act] (b)
Words and expressions used and not defined in these
rules, but defined in the Act shall have the meanings respectively assigned to
them in the Act Any
resolution passed by Panchayat for levying any tax enumerated in the Act shall
specify the rate at which and the date from which any such tax shall be levied. Provided
that the Panchayat shall before passing any resolution for levying tax for the
first time or for increasing the rate of an existing tax, publish a notice at
least in one newspaper published in the main language of the locality, on the
notice board of the Panchayat and in the places specified by the Panchayat and
advertise by using pamphlet and loudspeaker of such intention, fix a reasonable
period not being less than thirty days for submission of objections and
consider the objections, if any, received within the period specified. Provided
further that any resolution passed for abolishing an existing tax or for reducing
the rate of tax at which it is levied, shall be reported to the officer
authorized by the Government for this purpose and such reduction or abolition
shall not be carried out into effect without the sanction of the officer
authorized by the Government for this purpose: Provided also that, where any
resolution under this rule has been put into effect for a particular year, no
proposal to alter the rates or date of effect fixed in such resolution shall be
taken into consideration in that year by the Panchayat If
a Panchayat, subject to the provisions in these rules, decides to levy any tax
for the first time or at a new rate, the Secretary shall publish forthwith a
notice on the Notice Board of the Panchayat and at places specified by the
Panchayat specifying the rate at which, the date from which and the period if
any, for which such tax shall be levied and this information shall be
advertised by using pamphlets and loudspeakers. (1)
The Secretary shall maintain the assessment books in the
specified form and such books shall contain the name and details of the persons
and properties which may be liable to be taxed under the Act. (2)
Notwithstanding anything contrary contained in any other
rules issued under the Act, the assessment books and where detailed particulars
relating to any assessment of tax are kept in separate records, the portion
thereof containing such particulars, shall be kept open at all reasonable times
for inspection, free of charge, by any person who pays any tax to the panchayat
or his authorized agent and such person or agent shall be entitled to take
extracts, free of charge, from any part of such books and records. (3)
Notwithstanding anything contrary contained in any other
rules issued under the Act, the account books of the Panchayat shall be kept
open on any day or days fixed by the Panchayat in each month for inspection,
free of charge, by any person who pays any tax to the Panchayat or his
authorized agent. The [3][Secretary]
shall, save as otherwise provided in the Act and the rules made thereunder,
assess the tax which each person is liable to pay:][4] [5][xxxx] (1)
If it appears [6][to
the Standing Committee for Finance] at any time that any person or property has
been inadequately assessed or that such person or property has been
inadvertently or improperly omitted from the assessment books or that there is
any clerical or arithmetical error in the said books relating to any tax, it
may direct the [7][secretary]
to amend the said books in such manner as it may deem just or necessary: Provided
that where it involve an increase in the tax or any imposition of fresh tax, no
such direction shall be given, unless the person concerned has been given a
reasonable opportunity to show cause [8][before
the Standing Committee for Finance][9]
as to why the assessment books should be amended as proposed. (2)
Such amendment shall be deemed to have come into force
from the current year on which the circumstances justifying the amendment was
in existence or in the two half years immediately preceding the amendment
whichever is earlier. (1)
Where any tax is due from any person, the Secretary
shall, save as otherwise provided in the Act or rules made thereunder, serve
upon such person a bill for the sum due. (2)
The bill under sub-rule (1) shall be signed by the
Secretary and shall contain the following matters,- (a)
the date of issue thereof; (b)
the period or periods for which the tax is levied and a
statement regarding that period or periods. (c)
description of the occupation, building, land or property
for which the tax is levied; (d)
the last date or dates for the payment of tax; and (e)
a statement regarding the liability for default, if any,
made in remittance of money. (3)
Where a bill referred to in sub-rule (1) relating to
profession tax has not been served either in the half year to which the tax is
related or in the succeeding half year, the tax for the half year first
mentioned shall not be demanded. (1)
The Secretary shall, to every person making payment of
tax, issue a receipt signed by him or by any other person duly authorized by
him for that purpose. (2)
Such receipts shall specify the following matters, (a)
the date of issue; (b)
name of the person to whom it is issued; (c)
the tax in respect of which remittance has been made; (d)
the period for which payment has been made; and (e)
the amount paid in (in figures and words). (1)
Appeal shall lie [10][to
the Standing Committee for Finance] in respect of any assessment and levy of
any tax made by the [11][secretary]. (2)
Appeal shall be filed in writing within 30 days from the
date of receipt of the bill under sub-rule (1) of Rule 8 and shall specify the
objections and reasons for appeal precisely and distinctly. [12][The
Standing Committee for Finance] may on its own motion or otherwise, within
fifteen days of service of notice to the person concerned and after
considering the objections, if any, submitted by him after service of notice,
cancel or modify any [13][orders
of the secretary] reducing, or remissioning or enhancing a tax. (1)
Any person having objection on the decision taken by the
Standing committee for Finance under rule 11 may, where he is aggrieved of a
notice so issued or other action taken by the Standing Committee for Finance,
file revision petition before the Tribunal for the Local Self Government
Institutions constituted under sections 271 S of the Act. (2)
No appeal or revision shall lie against the imposition of
tax unless the tax mentioned in the demand notice has been remitted.][14] The
assessment books shall be corrected in accordance with the decision on the
appeal and in the event of reduction or remission of tax, the excess amount
remitted shall be refunded: Provided
that if any sum is due to the Panchayat from the assesses that may be set off
against such sum to be refunded and if there is no such sum due and if the
assessed requests the president to adjust the said sum towards any amount that
may become payable by him in future and it shall be credited accordingly. (1)
The Secretary shall, where any tax due from any person
has not been remitted on or before the due date, serve upon such person a
demand notice requiring him to pay the tax together with [15][notice
fee of two rupees and] the cost of service of the notice if sent by registered
post, within fifteen days from the date of service of notice, before taking the
proceedings under Section 210 of the Act. (2)
Notice under Sub-rule (1) shall be signed by the
Secretary and shall contain the following matters, (a)
a statement regarding the period for which the tax is
imposed, and description regarding the occupation, property or institution on
which the tax is imposed; (b)
the amount of tax, fee of demand notice and cost of
notice is sent by registered post; (c)
the date from which tax is due; and (d)
statement of the liability incurred on account of the
default in remitting money. (1)
If the amount due on account of any tax together with the
fee of demand notice and the cost of service of the notice is not paid within
fifteen days from the date of service of the notice and if the person from
whom the tax is due has not shown cause to the satisfaction of the Secretary as
to why it should not be remitted, the Secretary may, by distraint under warrant
and by sale of the movable property of the defaulter, recover the amount due on
account of the tax together with demand notice fee, cost of service of notice,
warrant fee including the distraint fee together with such further sum that is
sufficient for a meeting the actual expenses for the safe custody and sale of
the property so distrained: Provided
that movable property described in the proviso to Section 60 of the Code of
Civil Procedure, 1908, shall not be distrained. (2)
The warrant under sub-rule (1) shall be in Form No. 1
appended to these rules and for each such warrant a fee of five rupees shall be
levied. Nothing
contained herein shall bar the Panchayat from filing suit in a civil court for
the recovery of any tax due to the Panchayat under the Act. Any
officer conferred with the duty to execute a warrant of distress under a
special order of the Secretary in writing, it has reason to believe that any
building contains property which is liable to be seized, may, in case it is not
possible to obtain entry otherwise even after informing his authority and
purpose and making a proper request for entry to execute distress, open or
break open any outer or inner door or window or other obstruction in such
building or cause the same to be done between sunrise and sunset: Provided
that such officer shall not enter or break open the door of any room
apportioned for the use of women until three hours, notice of his intention has
been given and an opportunity has been given to such women to withdraw. The
officer conferred with the duty to execute a warrar It shall, before making the
distraint, demand the remittance of the tax due and the warrant fee. If the tax
and fee are remitted no distraint shall be made, but where the tax or fee is
not remitted, the officer shall, (a)
seize the movable property of the defaulter as he may
think necessary; (b)
make an inventory of the property seized in the presence
of two witnesses; and (c)
give to the person in possession of the property seized,
at the time of the seizure, a copy of the inventory and sale notice in Form No.
2 appended to these rules; Provided
that a period of seven days shall be allowed for remitting the amount due and
redeeming the property seized. The
cost of the properties distrained shall, as far as possible, be equal to the
sum total amount of the tax due from the defaulter together with all expenses
that may be incurred on account of the warrant, distraint, keeping in safe
custody and sale. (1)
If the amount due from the defaulter on account of tax,
warrant fee, distraint fee and the expenses incurred on account of the safe
custody of properties are not remitted within the period of seven days
mentioned in the notice given under Rule 18 and if the distraint warrant is not
suspended by the Secretary, the properties seized or a sufficient portion
thereof shall be sold by public auction under the orders of the Secretary who
shall apply the proceeds of the sale for the payment of the amount due on
account of the tax, the warrant fee, the distraint fee and the expenses
incurred on account of the detention and sale of property and shall return any
property or sum which remains after the application of the sale proceeds as
aforesaid to the person in whose possession the property was at the time of
seizure. If the proceeds of the sale are insufficient for the payment of the
amount due on account of the tax, the warrant fee and distraint fee and the
expenses incurred on account of the detention and sale of the property, the
Secretary may again proceed under Rule 15 in respect of the sum remaining
unpaid. (2)
The Secretary may sell the properties seized at any time
before the expiry of the said period of seven days if the properties seized are
subject to speedy and natural decay and the amount due is not paid soon. (3)
The distrainor shall, if the defaulter agrees to remit
the arrears for the realisation of which the property has been distrained,
together with incidental expenses, before the date of sale, receive the amount,
issue receipt and release the property forthwith. The
Secretary shall consider any objection submitted within the said period of
seven days regarding the distraint made and may postpone the sale pending
investigation thereof. If the Secretary decides that the property attached
should not have been distrained, he shall return it or if it has already been
sold out, give the amount obtained out of the sale to the person found to be
entitled thereto. The Secretary may, if he is convinced that the first
defaulter wilfully permitted the distraint of the property when it was not
liable to such distraint to his knowledge again take the proceedings under Rule
15, and shall recover from the defaulter all fees and expenses connected with
the first distraint and sale. The
Government or any officer authorized by the Government in this behalf may, call
for the records relating to any distraint of any property made under these
rules and after conducting such inquiry as they or he may deem fit, pass such
orders as are found necessary. The Secretary shall enforce such orders. (1)
There shall be levied fees on distraints made under these
rules according to the value of the properly distrained and the rates specified
below: The Sum
distrained for Fees (1) (2) Rs. Ps. Upto rupees 10 2 00 Above rupees 10
and upto rupees 25 5 00 Above rupees 25
and upto rupees 50 10 00 Above rupees 50
and upto rupees 100 20 00 Above rupees
100, 2.00 rupees each for every 10 rupees (2)
The above rates shall include all expenses to keep the
property distrained. (3)
The fees levied under this rule shall not include the
cost of maintenance of any livestock distrained. The
property of a person who is in default under Rule 15 may be distrained wherever
it may be found within the Panchayat area. [16][xxxx] If
any tax due from any person remains unpaid in whole or in part at the end of
the period specified in Rule 15 and if such person has left the State or cannot
be found, the said tax or such part thereof as remains unpaid together with all
sums payable in connection therewith shall be recoverable as if it were an
arrears of land revenue. (1)
Any person subjected to prosecution under the second
proviso to Section 210, if proved to the satisfaction of the Magistrate to have
willfully defaulted payment of the amount due or have willfully obstructed the
distraint or sufficients distraint, shall be liable to pay, (a)
the tax and warrant fee if any; and (b)
the distraint fee, if distraint has taken place, the
expenses, if any, incurred on account of the detention and sale of the property
distrained and fine not exceeding twice the amount that is due from him. (2)
Whenever any person is convicted of an offence under
sub-rule (1), the Magistrate shall, in addition to any fine which may be
imposed, by summary disposal recover amounts, if any, due under the items
specified in clauses (a) and (b) of sub-rule (1) and also recover such amounts
as may be fixed by him, if any, as costs of the prosecution proceedings and pay
the same to the panchayat. The
Secretary, any panchayat employee or any member of the Panchayat Committee
shall not directly or indirectly purchase any property at any sale of
distrained property held under these rules. [1] Issued under G.O. No.
18619/N1/2000/LSGD pub. in K.G. Ex. No. 1133 dated 2-8-2001 as SRO 110/96. [2] Inserted by SRO
1022/2003. [3] Substituted by SRO
1022/2003. [4] Substituted by SRO
1022/2003. [5] Omitted by ibid. [6] Substituted by SRO
1022/2003. [7] Substituted by SRO
1022/2003. [8] Substituted by SRO
1022/2003. [9] Substituted by SRO
1022/2003. [10] Substituted by SRO
1022/2003. [11] Substituted by SRO
1022/2003. [12] Substituted by SRO
1022/2003. [13] Substituted by SRO
1022/2003. [14] Substituted by SRO
1022/2003. [15] Substituted by SRO
1087/2000 w.e.f. 27-11-2000. [16]
Omitted by SRO 1022/2003.THE KERALA PANCHAYAT RAJ (TAXATION, LEVY
AND APPEAL) RULES, 1996
PREAMBLE