The Jammu and Kashmir Passenger Taxation Act, 1963

(iii) any person responsible for the management of the place of business of such owner ; and (iv) the Government ; (f) "passenger" means any person travelling in a motor vehicle but shall not include the driver or the conductor or any employee of the owner of the vehicle travelling in the bona fide discharge of his duties in connection with the vehicle ; (g) "prescribed" means prescribed by rule framed under this Act ; (h) [Assessing authority] means an officer appointed as such by the Government for purposes of this Act (hh) "Tax Recovery Officer" means Tax Officer as defined by clause (mm) of section 2 of the Kashmir General Sales Tax, 1962; (i) All words and expressions used but defined in this Act shall have the same meaning as are them in the [J&K Motor Vehicles Act, Svt. 1998].

1. (1) There shall be charged and paid to the Government a tax on all fares in respect of passengers carried by motor vehicles, at such rate not exceeding the value of the fare as may be notified by the Government from time to time in this behalf subject to a maximum of such rate as may be notified in case the amount of tax being calculated to lower rupee. Explanation.--When passengers are carried by a motor vehicle and no fare has been charged, the tax shall be levied and paid as if such passengers were carried at the normal rate prevalent.
2. (2) Where any fare charged is a lump sum paid by a person on account of a season ticket or as subscription or contribution for any privilege, right or facility which is combined with the right of such person being carried by a motor vehicle without any further payment or at a reduced charge, the tax shall be levied on the amount of such lump sum or on such amount as appears to the prescribed authority to be fair and equitable having regard to the fare fixed by a competent authority under the [Jammu and Kashmir Motor Vehicles Act, Svt. 1958].

1. (1) [3-A Payment of tax in lump.--Notwithstanding anything contained in section 3 an owner may, in lieu of tax chargeable under the Act opt to pay by way of composition such sum of money as the lump sum as may be determined from time to time by the Government with reference to the seating capacity of Motor Vehicle and notified by it :

Excess amount of tax collected to be paid to Government B. Excess amount of tax collected to be paid to Government.--An owner who has opted or shall opt to pay the tax in lump sum and has collected or shall collect tax in excess of the amount payable under sub-section

1. (1) shall pay to the Government in the prescribed manner the tax collected in excess.

Method of collection of tax.--The tax shall be collected by the owner of the motor vehicle and paid to the Government in the prescribed manner.

Method of levy.--Save as otherwise provided by this Act, no passenger shall be allowed to travel by the owner in a motor vehicle unless he is issued a ticket in the prescribed form for the journey, denoting that the tax has been paid.

1. (1) An owner may be required to keep such accounts and to submit such returns at such intervals and to such authority as may be prescribed : Provided that an owner who has opted to pay the tax in lump sum shall not be liable to keep accounts and to submit returns.
2. (3) Omitted.
3. (4) If the assessing authority is satisfied that the tax has not been correctly levied, charged and/or paid in the prescribed manner or the owner has failed to furnish the return within the prescribed period, he shall after giving the owner a reasonable opportunity of being heard, proceed to levy the amount of tax due and recover the same.

Exemptions.--The Government may, by general or special order and subject to specific condition, if any, exempt either partly or in full, any person or class of persons from the operation of any of the provisions of this Act, if in its opinion such exemption would be expedient in the public interest.

Supply of time table and table of fares and freights.--An owner shall in the prescribed manner, furnish to the [Assessing authority] a table of fares of public service vehicles, a table regulating timings of arrival and departure of motor vehicles and such other particulars connected with the business as the [Assessing authority] may, by order, from time to time, require.

Recovery of arrears of tax and on demand.--

1. (1) Any arrears of tax or penalty imposed under this Act shall be recoverable as an arrear of land revenue.
2. (2) Notwithstanding anything contained in sub-section (1), if it is reported to the [Assessing authority] or any officer specially empowered in this behalf by the Commissioner that the tax is due from an owner of a motor vehicle and he has not paid the same within the time allowed to him in this behalf, a notice shall be issued to him in the manner considered feasible by that officer to appear and to show cause why the tax may not be realised from him.
3. (3) If the owner fails to appear or to show cause to the satisfaction of that officer that the tax had been paid, the officer may direct that until the tax is paid the motor vehicle in respect of which the tax is due shall not ply. [A copy of the order shall be forwarded to the [Registering authority] as defined in the Motor Vehicles Act, 1939,] and the said authority shall, notwithstanding the provisions of the Motor Vehicles Act, 1939, suspend the permit of the vehicle and shall not allow it to ply for the period during which the arrears of tax or any other amount payable under this Act remain unpaid.
4. (4) An order passed ex-parte may be set aside by the officer on sufficient cause being shown in that behalf [within thirty days from the receipt of an application requesting to set aside the order] and after such order has been set aside the proceedings may start by the officer from the stage at which the ex-parte proceedings were taken.
5. (5) The provisions of the Code of Civil Procedure, Svt. 1977, shall apply mutatis mutandis to the proceedings in respect of service of processes on the assessee and the [Assessing authority] and the officers specially empowered by the Commissioner under sub-section
6. (2) shall have the powers of a Civil Court in respect of the summoning of witnesses and the production of documents.

A. Interest on delay in payment of tax etc.--If any amount of tax, penalty or any other sum payable under this Act, except the amount payable under this section, is not paid within the prescribed period or specified in the notice of demand, as the case may be, the person who is in default shall in addition to such tax, penalty or sum, pay interest at 2% per month for each month of default. Explanation 1.--Interest shall be charged for full month and not for a part thereof. Explanation 2.--If tax or any other amount payable under the Act is paid by cheque or draft, the date of encashment of the cheque or the draft, shall be treated to be the date of deposit of tax or such other sum.

Power of entry and inspections.--

1. (1) The driver shall cause the vehicle to stop and remain stationary when required so to do by any [Assessing authority] in order to enable the said authority to carry out any duty imposed by or under this Act, and the said authority may also enter and travel in the motor vehicle.
2. (2) A person authorised under sub-section
3. (1) shall wear such uniform or such other distinguishing insignia as may be prescribed, may enter and inspect any motor vehicle and may, if necessary, examine the ticket and countersign any ticket produced for inspection.
4. (3) The [Assessing authority] may, in order to ensure that any portion of this Act is not being evaded by the owner of a motor vehicle, inspect and, if necessary, seize the log book from the driver of such motor vehicle and give a temporary acknowledgment therefor to the driver until the log book is returned to him.
5. (4) All accounts, registers and other documents of an owner of a motor vehicle shall at all reasonable times be open to inspection by the Commissioner, assessing authority or any other officer authorised by the Commissioner in this behalf and the Commissioner, assessing authority or the authorised officer may take copies of such accounts, registers, documents and books.
6. (5) If the Commissioner, assessing authority or any authorised officer has reasons to suspect that any owner of a motor vehicle is attempting to evade payment of tax under this Act, the Commissioner, assessing authority, or the authorised officer may, for reasons to be recorded, seize such accounts, registers or other documents of the owner as may be necessary for the purpose of any proceeding under this Act and shall grant a receipt for the same. The said accounts, registers and other documents shall not be retained by an officer other than the Commissioner for a period exceeding one month unless prior approval of the Commissioner has been obtained.
7. (6) For the purposes of sub-sections
8. (4) and (5), the Commissioner, assessing authority or the authorised officer, as the case may be, may enter any place of business of the owner of a motor vehicle.

Power to seize licence.--

1. (1) The [Assessing authority] may, if he has reason to believe that the driver of a motor vehicle charged with any offence under this Act may abscond or otherwise avoid the service of summons, seize any licence held by such driver and forward it to the Court taking cognizance of the offence.
2. (2) The [Assessing authority] seizing the licence under sub-section
3. (1) shall give to the person surrendering the licence a temporary acknowledgment therefor and such acknowledgment shall authorise the driver to ply the vehicle until the licence has been returned to him or the Court has otherwise ordered.

Production of tickets.--A passenger shall, during the course of or immediately before the end of the journey, produce on demand to the [Assessing authority] the ticket, voucher or pass issued in respect of his travel. On his failure to do so he would be liable to pay double the fare as penalty.

Appeals Appeals.--An appeal shall lie to the appellate authority appointed by the Government in this behalf within thirty days of the passing of any order appealed against: Provided that the period may be extended for good cause shown to the appellate authority. The order of the appellate authority shall be final except as provided hereinafter. Provided that no appeal shall be entertained by such authority unless he is satisfied that the amount of tax assessed and the penalty imposed has been paid: Provided further that such authority if satisfied that an owner is unable to pay the tax assessed and the penalty imposed, may, for reasons to be recorded in writing, entertain an appeal without such tax and the penalty having been paid.

Revisions.--

1. (1) The Commissioner may, of his own motion or on application made in this behalf, call for the record of any proceedings which are pending or which have been disposed of by any other authority subordinate to him under this Act for the purpose of satisfying himself as to the legality or propriety of such proceedings or of any order made therein and may pass such order in relation thereto as he thinks fit: Provided that the owner shall be given a reasonable opportunity of being heard.
2. (2) No order shall be made under this section without giving in most cases the owner a reasonable opportunity of being heard.

A. Penalties imposable.--If any person--

1. (a) fails to obtain certificate of registration as required by section 9 of the Act for plying the motor vehicle; or
2. (b) fails to keep accounts or submit returns as provided under section 6; or
3. (c) fails to pay the tax; or
4. (d) fails to produce ticket as required under section 15; or
5. (e) fails to furnish information under section 9(5)(6), or
6. (f) obstructs any officer from making inspection under section 13, or
7. (g) contravenes any other provision of the Act or the rules framed thereunder or any order or direction made under any of the provisions or rules not specifically provided for, shall be liable, on conviction, to a fine not exceeding one thousand rupees, and when the offence is a continuing one, with a further fine not exceeding fifty rupees for each day of the continuance of the offence.

1. (2) No Court shall take cognizance of any offence under this Act or the rules framed thereunder, except on report of the [Assessing authority] and no Court inferior to that of a Magistrate of the first class shall try any such offences.
2. (3) The offences specified in sub-section
3. (1) shall be triable summarily.

Offences and penalties.

1. (1) If any person—
   • (e) fails to furnish information under section 9(5)(6), or
   • (f) obstructs any officer from making inspection under section 13, or
   • (g) contravenes any other provision of this Act or any rule made thereunder or any order or direction made under any such provisions or rule not specifically provided for, shall be liable, on conviction, to a fine which may extend to one thousand rupees, and when the offence is a continuing one, with a further fine not exceeding twenty rupees for each day of the continuance of the offence.
2. (2) No Court shall take cognizance of any offence under this Act or the rules framed thereunder, except on a complaint in writing by the Assessing authority and no Court inferior to that of a Magistrate of the first class shall try any such offences.
3. (3) The offences specified in sub-section
4. (1) shall be triable summarily.

Power to compound offences.

1. (1) The Assessing authority may, at any time, accept from any person, who has committed an offence under section 18, by way of composition of such offence a sum not exceeding one thousand rupees or double the amount of the tax involved, whichever is greater.
2. (2) On payment of such sum of money as may be determined under sub-section (1), the Assessing authority shall report to the Court that the offence has been compounded and no further proceeding under section 18 shall be taken against the accused, as the case may be.

Bar of proceedings.

Exclusion of jurisdiction of Civil Courts Exclusion of jurisdiction of Civil Courts. No Civil Court shall have jurisdiction to settle, decide or deal with any question which is by or under this Act required to be settled, decided or dealt with by the Government or any Assessing authority or to exercise any powers vested in it or him by or under this Act or the rules made thereunder.

Refunds.

Rectification of mistake A. Rectification of mistake.

1. (1) The Commissioner, Appellate Authority, Assessing authority or any authorised officer may, either on his own motion or on an application, at any time within four years from the date of any order passed by him, rectify any mistake apparent on the face of any order made by him : Provided that no such rectification which has the effect of enhancing the demand or reducing the refund shall be made unless the affected person is given a reasonable opportunity of being heard.
2. (2) Where such rectification has the effect of enhancing the demand, the assessing authority shall serve on the affected person a fresh notice of demand for the extra amount of demand.

Power to make ni1es.--(l) The Government may make rules, consistent with this Act, for securing the payment of the tax and generally for -the purpose of carrying into effect the provisions of this Act.

1. (2) In particular and without prejudice to the generality of the foregoing power, tho Govcrnmcnt may make rules,--
   • (a) prescribing thc mitnncr in which and the interval's and the places at which tax shill1 hc paid under section 3 and section 4 ;
   • (h) prescribing thc aurhoritv or authorirics for the purpose of carrying out any function undcr any of the provisions of this Act ;
   • (c) prescribing the forms of tickets atxi receipts undcr scctjon 5 ;
   • (d) prescribing 1fiC manncr and payment of .'(lax, penalty or any dkr amount payaMc undcr the Act.] '(c) pbcscribbg the manner-of table of fares under section 11 ;
   • (f) prescribing thc manncr inawhich appeak against assessment mar be .. ptekrreci: