Authority to receive cess on property

(1) The State Government may, on the recommendation of the Authority by notification, levy a cess on property, lands and buildings in the notified area or any part thereof, at such rate, as may be determined, from time to time: Provided that the cess shall be levied only for the purpose of payment of interest and repayment of loans, bonds or debentures borrowed, by the Authority from sources other than the State Government, specifically for the purposes of implementation of the infrastructure development plan or the plan for sustainable management of the urban environment and for no other purpose: Provided further that if any surplus on account of the cess remains after payment of such sums as are permissible under the first proviso, then such surplus shall be returned or adjusted, as the case may be , in such manner, as may be specified by regulations. (2) The cess may be levied at different rates for different areas and for different classes of properties. (3) The cess shall be collected by the local authority within whose areas the properties are situated as if the cess were a property tax levied by it under the law governing such local authority and shall first be credited to the Consolidated Fund of the State. (4) The State Government shall after the appropriation made by the State Legislature by law in this behalf pay to the Authority, from time to time, the entire proceeds of the cess credited to the Consolidated Fund of the State for being utilised by the Authority for the purposes of this Act.