Determination of rateable value of lands and buildings assessable to taxes

The rateable value of lands and buildings assessable to taxes specified in section 86 shall be,- (a) in the case of land, the rateable value shall be based upon per square metre of the actual area of land multiplied by the relevant factors prescribed for the particular zone and in the case of building, the rateable value shall be based upon per square metre of plinth area multiplied by relevant factor prescribed for the particular zone. (b) for levy of tax on lands and buildings, the entire municipal area shall be divided into different zones and each zone shall have relevant factors having different values. (c) for the purpose of determination of ratable value, there shall be five factors i.e. (i) location, (ii) occupancy, (iii) age of building, (iv) use of building and (v) type of structure. Each factor shall have different value for different zone as may be determined by the Corporation, from time to time. (d) the mode for levy, calculation and assessment of tax as per provisions of this Act, which relates to the classification, usages of the buildings or apportionment of buildings or vacant land and open spaces forming part of the land and building shall be prescribed by bye-laws: Provided that annual deduction of ten per cent on the rateable value of building shall be allowed on account of repair and maintenance expenses necessary for the maintenance of the building and a rebate of ten per cent shall also be allowed on the amount of tax, in case the amount of tax specified in the bill is paid within fifteen days from the date of receipt of such bill, however, this rebate shall not be applicable in the case of defaulters who are in arrear of tax and shall be liable for penalty of five percent of the tax due.