Procedure to impose tax: V -

(1) The Municipality may, at a special meeting pass a resolution to propose the imposition of any tax under section 120. (2) When such resolution has been passed, the Municipality shall publish a notice, definition the class of persons or description of property proposed to be taxed, the amount or rate of the tax to be imposed, and the system of assessment to be adopted. (3) Any inhabitant objecting to the proposed tax may, within thirty days from the date of publication of the said notice, submit his objection in writing to the Municipality and the Municipality shall at a special meeting, take his objection into consideration. (4) If the Municipality decides to amend its proposals or any of them, it shall publish the amended proposals along with a notice indicating that they are modifications of those previously published for objection. (3)

(5) Any objection, which may within thirty days, be received to the amended proposals, shall be dealt with in the manner specified in sub- section (3). (6) When the Municipality has finally settled its proposals, it shall forward a copy of the proposals to the Government.

1. (7) The Government may, on receiving the proposals under sub-section (6), sanction or refuse to sanction the same or return them to the Municipality for further consideration. (8) When a proposal has been sanctioned under sub-section (7), the Government shall notify the imposition of tax in accordance with such proposal and shall in the notification specify a date not being less than thirty days from the date of the notification on which the tax shall come into force.
2. (9) A tax leviable by the year, shall come into force on the first day of January, or on the first day of April, or or the first day of July, or on the first day of October, in any year, and if it comes into force on any day other than the first day of the year by which it is leviable, it shall be leviable by th quarter till the first day of such year, then next ensuing. (10) A notification of the imposition of a tax under this Act shall be conclusive evidence that the tax has been imposed in accordance with the provisions of this Act.