Levy of tax

(1) Subject to the other provisions of this Act, on and from the date appointed under sub-section (3) of section 1, a tax at the rates fixed by the Government by notification in the Gazette, not exceeding the maximum rates specified in the First Schedule, shall be levied on all motor vehicles used or kept for use in the State: Provided that no tax shall be levied on a motor vehicle kept by a dealer in, or a manufacturer of, such vehicle for the purposes of trade and used under the authorisation of a trade certificate granted by the registering authority. (2) The registered owner of, or any person having possession or control of, a motor vehicle, of which the certificate of registration is current, shall, for the purposes of this Act, be deemed to use or keep such vehicle for use in the State except during any period for which the Regional Transport Officer has certified in the prescribed manner that the motor vehicle has not been used or kept for use. (3) Notwithstanding anything contained in sub-section (1), the Government may, by notification in the Gazette, from time to time direct that a temporary licence for a period not exceeding thirty days at a time may be issued in respect of any class of motor vehicles on payment of such tax (not exceeding the maximum specified in Schedule II) and subject to such conditions as may be specified in such notification. (4) In the case of motor vehicles in respect of which any reciprocal arrangement relating to taxation has been entered into between the Government of Kerala and any other State Government, the levy of tax shall notwithstanding anything contained in this Act, be in accordance with the terms and conditions of such reciprocal arrangement: Provided that the tax leviable under any such arrangement shall not exceed the tax leviable under the First Schedule or the Second Schedule, as the case may be: Provided further that the terms and conditions of every such reciprocal arrangement shall be published in the Gazette and a copy thereof shall be placed before the Legislative Assembly.