PM Act 61Chapter V · Taxation

Section 61 · [ Taxes which may be imposed. [Substituted by Punjab Act No. 2 of 1923.]

(1)

Subject to any general or special orders which the [State] Government may make in this behalf, and to the rules, any committee may, from time to time for the purposes of this Act, and in the manner directed by this Act, impose in the whole or any part of the municipality any of the following taxes, namely :

(a)

[A tax payable by the owner of building and lands not exceeding fifteen per cent of the annual value.] [Substituted by Act No. 11 of 1994.]

[***] [The first proviso and the word 'further' from the second proviso omitted by Punjab Adaptation of Laws (State and Concurrent Subjects) Order, 1968.]Provided [***] [The first proviso and the word 'further' from the second proviso omitted by Punjab Adaptation of Laws (State and Concurrent Subjects) Order, 1968.] that in the case of lands and buildings occupied by tenants in perpeuity, the tax shall be payable by such tenants ;

(b)

a tax on persons practising any profession or art or carrying on any trade or calling in the municipality;

[Explanation. - A [person in the service of the [Government] [Added by Punjab Act No. 1 of 1925]] or person holding an office under the State Government or the [Central Government] [Substituted for the words 'Government of India' by the Government of India (Adaptation of Indian Laws) Order, 1937.] or a local [or other public] [Inserted by Punjab Act No. 3 of 1933.] authority shall be deemed to be practising a profession within the meaning of this sub-clause.]

(c)

a tax payable by the owner, on all or any vehicles [other than motor vehicles] [Inserted by Punjab Act No. 2 of 1940.] animals used for riding, draught or burden, and dogs, when such vehicles, animals used as aforesaid, and dogs are kept within the municipality;

(d)

[ a tax, payable by the employer, on menial domestic servants; [Clause (d) was omitted and subsequent clauses relettered (d) and (e) respectively by Punjab Act No. 3 of 1933.]

(e)

a tax, payable by the occupier of any buildings in respect of which the committee has, in exercise of the powers conferred by sections 159 to 165 of this Act, undertaken the house scavenging;]

(ee)[ in addition to the tax imposed under clause (a), scavenging tax, payable by the occupier, on buildings and lands of such percentage of the annual value thereof as the State Government may, by notification, declare to be reasonable for providing for the collection, removal and disposal by the committee of all filth and polluted and obnoxious matter from latrines, urinals, cess-pools and for efficiently maintaining and repairing the municipal drains constructed or used for the reception or conveyance of such filth or polluted and obnoxious matters :] [Clause (ee) inserted by Punjab Act No. 24 of 1973.]

(f)

[ a tax payable by persons presenting building applications to the committee: [Clause(f) was inserted by Punjab Act No. 3 of 1933.]

Provided that a committee shall not impose any tax without the previous sanction of the [State] Government when -]

(i)

it consists of members less than three-fourths of whom have been elected; or

(ii)

its cash balances have, at any time within the three months preceding the date of the passing of the resolution imposing the tax, fallen below Rs. 20,000 or one-tenth of the income accrued in the previous financial year whichever amount shall be less.

(2)

Save as provided in the foregoing clause, with the previous sanction of the State Government any other tax which [State Legislature] [Substituted for the word 'under rules made under clause (a) of sub-sections (3) of section 80-A of the Government of India Act, a local authority may be authorized to impose by any law made by the local legislature without the previous sanction of the Governor-General' by the Government of India (Adaptation of Indian Laws) Order 1937.] has power to impose in the State under the [Constitution] [Substituted for 'Government of India Act, 1935' by the Adaptation of Laws (Third Amendment) Order, 1951.].[(2-A) Notwithstanding anything contained in this Act, on and with effect from the commencement of the Punjab Municipal (Amendment) Act, 2006, no octroi shall be levied, except on electricity, petrol and diesel :Provided that the additional excise duty, levied in lieu of octroi on liquor under any other provision of law, shall continue to be levied:] [Substituted by Punjab Act No. No. 26 of 2006.][Provided further that on and with effect from the commencement of the Punjab Municipal (Amendment) Act, 2012, no octroi shall be levied on petrol and diesel.] [Inserted by Punjab Act No. 8 of 2012, dated 16.7.2012.]

(3)

[ ***] [Sub section (3) was omitted by the Government of India (Adaptation of Indian Laws) Order, 1937.][Nothing in this section shall authorise the imposition of any tax which the State Legislature has no power to impose in the [State] [These words were inserted at the end of the section by the Adaptation of Laws Order, 1950.] under the [Constitution] [Substituted for the words 'Part III of the said Act' by the Adaptation of Laws (Amendment) Order, 1951.]Provided that a committee which immediately before the commencement of [Constitution] [Substituted for the words 'Part III of the said Act' by the Adaptation of Laws (Amendment) Order, 1951.] was lawfully levying any such tax under this section as then in force, may continue to levy that tax until provision to the contrary is made by [Parliament] [Substituted for the words 'The Central Legislature' by the Adaptation of Laws (Third Amendment) Order, 1951.]][Explanation. - In this section "tax" includes any duty, cess or fee.] [Inserted by East Punjab Act No. 9 of 1949.]]

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