Chapter VII A.

(1) The State Government shall levy, on the condition and in the manner hereinafter described, a cess at the rate of fifty paise on every rupee of-

(a) every sum payable to the State Government as ordinary land revenue except sums payable on account of any of the charges mentioned in sub-section (2) and except sums payable on account of any charge which may be notified by the State Government in this behalf;

(b) every sum which would have been payable as land revenue by a small holder as defined in the Explanation to section 45 of the Land Revenue Code in respect of the land held by him for the time being for the purpose of agriculture, had land revenue been payable in respect of such land under the said section by such small holder; and

(c) every sum which would have been assessable on any land as land revenue had there been no alienation of the land revenue:

Provided that no cess shall be levied under this section on sums less than twenty-five paise.

(2) The following sums shall not be taken into account for the purposes of sub-section (1), namely :-

(i) penalties and fines, including any charge imposed under section 148 of the Land Revenue Code, as penalty or interest in case of default, but not including any fine levied under section 65 of the said Code on grant of permission to use land for a purpose unconnected with agriculture;

(ii) fees for grazing when charged per head of cattle.

The State Government may levy a cess not exceeding twenty paise on every rupee of water rate leviable under the provisions of the Bombay Irrigation Act, 1879.

The cess described in section 98A shall be levied, so far as may be, in the same manner, and under the same provisions of law, as the land revenue:

Provided that in case of any land in the possession of a tenant, if such tenant is liable to pay the land revenue in respect of such land under the provisions of the Bombay Tenancy and Agricultural Lands Act, 1948, or the Bombay Tenancy and Agricultural Lands (Vidarbha Region and Kutch Area) Act, 1958, such tenants shall be primarily laible for the payment of cess in respect of such land.

The cess described in section 98B shall be levied, so far as may be, in the same manner, and under the same provisions of law as water rates payable to the State Government under the Bombay Irrigation Act, 1879.

The local cess leviable on land revenue under section 98A and on water rate under section 98B in relation to any land shall be paid by the State Government to the municipality within the jurisdiction of which such lands are situated, after deducting such portion thereof as cost of collection, as the State Government may prescribe by rules.

Suspension and remission of local cess. On the application of the municipality to which the cess is payable, the State Government may, by notification in the Official Gazette, suspend or remit the collection of cess or any portion thereof in any year in any area, subject to the jurisdiction of such municipality.