Chapter II IMPOSITION AND APPLICATION OF THE CESS

1. (1) From and after the commencement this Act all lands shall be liable to the payment cess determined and payable as herein provided: 1[Provided that no such cess shall be payable in respect of lands which were not liable to payment of rent or revenue prior to the 1st day of April 1977 or lands in respect of which a tax on holding is assessed under the Orissa Municipal Act, 1950]: 1. Substituted by the Orissa Cess (Amendment) Act, 1978 (Or. Act 7 of 1978), S. 2. This 2. Inserted by the Orissa Cess (Amendment) Act, 1976 (Or. Act 42 of 1976), S. 2 3. Omitted by Orisha Act No. 10 of 1994. 4. Substituted by Orissa Act No. 10 of 1994. 2[Provided further that nothing in the proceeding proviso shall apply to section came into force w. e. f. the 1st April 1977 lands held for carrying on mining operations.] (2) Save as otherwise expressly provided in this Act, nothing contained in sub-section (1) shall pre judice or affect the operation of any law relating to land revenue or tax, cess, rate or fee in respect of any land or to the assessment or collection thereof. (3) Notwithstanding anything contained in this section or in any of the other provisions of this Act, all revenue-free or rent-free lands shall continue to remain liable to pay cess on the basis of assessment, if any, in force immediately before the commencement of this Act made under any of the laws specified in the Schedule until the revenue or rent in respect of such land becomes payable under any law for the time being in force and every amount due or which may become due on account of such cess shall be deemed to be an amount, due under this Act.

commencement this Act all lands shall be liable to the payment cess determined and payable as herein provided:

1[Provided that no such cess shall be payable in respect of lands which were not liable to payment of rent or revenue prior to the 1st day of April 1977 or lands in respect of which a tax on holding is assessed under the Orissa Municipal Act, 1950]:

¹ Substituted by the Orissa Cess (Amendment) Act, 1978 (Or. Act 7 of 1978), S. 2. This

² Inserted by the Orissa Cess (Amendment) Act, 1976 (Or. Act 42 of 1976), S. 2

³ Omitted by Orisha Act No. 10 of 1994.

⁴ Substituted by Orissa Act No. 10 of 1994.

2[Provided further that nothing in the proceeding proviso shall apply to section came into force w. e. f. the 1st April 1977

lands held for carrying on mining operations.]

1. (2) Save as otherwise expressly provided in this Act, nothing contained in sub-section (1) shall pre judice or affect the operation of any law relating to land revenue or tax, cess, rate or fee in respect of any land or to the assessment or collection thereof.
2. (3) Notwithstanding anything contained in this section or in any of the other provisions of this Act, all revenue-free or rent-free lands shall continue to remain liable to pay cess on the basis of assessment, if any, in force immediately before the commencement of this Act made under any of the laws specified in the Schedule until the revenue or rent in respect of such land becomes payable under any law for the time being in force and every amount due or which may become due on account of such cess shall be deemed to be an amount, due under this Act.

1[(1) The cess shall be assessed on the annual value of all lands on whatever tenure held calculated in the manner hereinafter appearing.

1. (2) The rate per year at which such cess shall be levied shall be fifty per centum of the annual value of the lands with effect from the 5th day of April, 1991 and seventy-five per centumof such value with effect from such date as the State Government may, by Notification appoint.] 2[5.A- x x x]

contained in any other law the cess shall be payable by a raiyat for the lands he holds to the landlord under whom he holds the land. Explanation: For the purpose of this sub-section "Landlord", shall include the Government.

1. (2) Cess shall be paid on such dates and in such manner as may be prescribed.]

¹ Substituted by Orissa Act No. 10 of 1994

² Omitted by Orissa Act No. 10 of 1994

³ Substituted ibid

the rent payable by such raiyat to the land-lord immediately under whom he holds the land: Provided that in case of lands held on payment of rent in kind or partly in cash and partly in kind the annual value shall be calculated according to the rates of rent assessed for neighbouring lands of a similar description and quality and if such method of calculation is, in the opinion of the Board of Revenue, impracticable in any particular case, according to such other fair and equitable method which the said Board may approve for that case. Explanation - For the purposes of this section-

(i)whatever is lawfully payable or deliverable in money or in kind of in both by a raiyat to his landlord on account of the use and occupation of the land shall be deemed to be rent, and (ii)"Landlord" includes Government.

(1) Where proceedings for settlement of rent in respect of land are being carried on under the Orissa Survey and Settlement Act, 1958 (hereinafter referred to as the said Act), Government may, by order, direct that cess payable under this Act in respect of any such land shall also be assessed in the course of such proceedings. (2) On an order being made under sub-section (1) the provisions of the said Act in so far as they relate to settlement of rent shall apply as fully and effectively as if under the said provisions cess had been required to be assessed along with the rent and incorporated in the records relating to such rent. (3) The cess so assessed shall, subject to the alterations, if any in proceedings under the said Act for alteration of rent, be deemed to have been correctly assessed under this Act and shall take effect from the same date from which such rent takes effect.

1. (2) On an order being made under sub-section (1) the provisions of the said Act in so far as they relate to settlement of rent shall apply as fully and effectively as if under the said provisions cess had been required to be assessed along with the rent and incorporated in the records relating to such rent.
2. (3) The cess so assessed shall, subject to the alterations, if any in proceedings under the said Act for alteration of rent, be deemed to have been correctly assessed under this Act and shall take effect from the same date from which such rent takes effect.

Where proceedings under the provisions of the said Act are being carried on in any area for pre paration of record-of-rights or for settlement of rent or for both, Government may, by order, direct that in course of the said proceedings the cess payable under this Act shall, subject to the rules made in that behalf be assessed in respect of lands held as an estate in the aforesaid area, which are not covered by an order under sub-section (1) of section 8 by such of the officers conducting the said proceedings and in such manner as may be specified, in the said rules and the cess so assessed shall take effect from the date notified in that behalf by Government. 9-A. Assessment of cess in other cases.- The cess payable in respect of lands not covered by an order made under sub-section (1) of section 8 or under section 9 shall, whenever Govern ment, by order, so direct, be assessed or revised by the Collector in the prescribed manner and the cess so assessed or revised shall take effect from the beginning of such year as may be fixed by the Board of Revenue.

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1[(1) Notwithstanding

anything contained in any other law, all amounts collected as cess shall be credited to the Consolidated Fund of the State and shall be utilised for the following purposes, namely:

1. (a) contribution to Grama Panchayats and
2. (b) contribution to Samitis.]

¹ Substituted by Orissa Act No. 10 of 1994

² Omitted by Orissa Act No. 10 of 1994

1. (2) The allotment of amounts t0 be utilised for the purposes mentioned in 1[clauses (a), (b)] of section (1) shall be mean in such proportion as may be prescribed.

Explanation- In this section, "Grama Pancha yat" means a Grama Panchayat

constituted under the Orissa Grama Panchayat Act, 1964 and "Samiti" means a Panchayat Samiti constituted under the Orissa Panchayat Samiti Act, 1959.]

2[10-A Remission of cess. - Whenever distress is caused to the land owners by serious drought, flood, fire, cyclone, earthquake or any other, serious natural calamity in the State of Orissa or any part thereof, Government may, by order, direct that cess payable under this Act in respect of all or any of the lands in the State or such part thereof, as the case maybe, shall be remitted or realisation of such cess shall be suspended for such period as may be specified in the order. 10-B. Remission of forest fuel and nistar cess - Whenever rent or revenue payable by any person in respect of his land has been remitted or realisation of such rent or revenue has been suspended for any period, Government may, by order direcct that forest cess, fuel cess or nistar cess, if any, payable by such person shall be remitted or, as the cess may be, realisation of such cess shall be suspended for the period aforesaid.] 11.

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