Chapter VIII LEVY, ASSESSMENT AND RECOVERY OF DEVELOPMENT CHARGE

1. (1) Subject to the provisions of this Act, and thc rules undcr it and with rhe previous sanction of lhe State Government, every planning authority shall, by a notification published in the Official Gazette, levy a chnrge (hereinafter called the development charge) on the carrying out of any development or the inslitulion or change of use of land, for which permission is required under Chapter VI of this Act, in the whoIe or any part of the planning area, at rates specified in section 39 : Provided that the rates may be dif'tercnt for different parts of the planning ilren.
2. (2) The charge shall be leviable on any persoi-t who undertakes or carries out such development and instilutes or changes any such use.
3. (3) Notwithstanding anything containcd in sub-sections
4. (1) and (21, no devefopn~eilt charge shall bc levied on developmenr, or insti~ution of, or change of usc, of any land vested in or undcr thc control or possession of the Central Government, the Statc Government 01. any local authority.
5. (4) The Slate Government may, by rules, provide for tl~c cxernption from the levy of development chi~tge of any development, or institution or change of any use of any land specifyed in the rules.

The dcvclopment charge shall not exceed :-

1. (a) for the institu~ion of use -
   • (i) for residence Rs.0.50 per Sq. metre,
   • (ii) for industry Rs. l .OO per Sq. metre,

(i i i) for commeince Ks.2.00 per Sq. mcrre.

1. (b) for change of usc -
   • (i) from agricultural to ihesidence Rs.0.50 per Sq. metre,
   • (ii) from agricul turd to industry Rs. l .OO per Sq. metre,
   • (iv) from residence to industry Rs.2.00 per Sq. metre,
   • (v) fro111 residence to commerce Rs.0.50 per Sq, metre,
   • (vi) fron~ induslry LO residence Rs. 1.50 per Sq. metre,
   • (vii) from industry to conlnlerce Rs.0.50 per Sq, metre,
2. (c) COI. carrying on of development by erection or re-erection of any building or works Rs. 0.10 per cubic metre of the content of such building or works.

1. (1) Any pei-son who intends to carry out nny development or to institute 01- ch;lnge any use of any land for which permission under Chapter VII is ncccssary, whether he l~ns applied Tur such perniissio~l or not, or who has comtnenced the carrying out of any such development or has carried ou~ such dcvclopment 01- institu~ed or changed any such use, shall apply to the planning authority in [he manner prescribed for the assessment of develop~nent charge payable in respect thcrcof.
2. (2) The planning authority shall, on such application being made, or if no such application is made. after serving a notice on the person liable Tor . develop~llen t charge, determine whether or not, and if so, whai developnlenr charge is leviable in respecl of that devclopmcnt or use.
3. (3) Thc Town Planning Officer, shall, alrer giving a reasonable opportunity of being heard to rhe person who has madc an applicaiion under sub-seclion
   • (I) or who has becn scrvcd with a notice under sub-scction (2), make a reporl ro the planni~~g nuthol-ity.
4. (4) Aftel- taking inlo consideration the aforesaid report the planning aulhority shall assess the iirnounr of development charge by an order provided that -
   • (a) where permission under Chapter VII has not been granled forcal~ying our [he said dcvelop~ncnt, the planning aurhoriry rnay postpo~~c thc assessment nf thc dcvclopment charge ;
   • (b) where the application relates LO the carrying out of any development, the planning authority may reiuse to assess the developrne~~t charge payable in respect thereof, unless it is satisfied thal rhe applicant has an in~eresl in rhe lilild suflicienr to enable him to carry out such development, or that rhc applicant is able to obtain such illrerest and that thc applicant will carry out the development within such period as the planning authori~y coilsiders appropriate ;
   • (c) where Lhe applicalion relates to the instilution or change oP any use, Ihe planning authority may refuse to assess the amount of developn-tent chargc in respect thereof unless it is snlisiied thar [he use will bc instituted within such period as [he planning authority considcrs appropriate.
5. (5) Thc planning autl~ol-ity shall deliver or serve a copy of such order on thc applicant or thc pcrson liable for the development charge. (6 Such order or assessment, subject to provisions of section 41 shall be final and shall not be questioned in any Court.

1. (1) If any person, liable for the development charge referred to in section 40 is dissarisfied with thc order of assessment, he may, within such timc and in such manncr ils may be prescribed, appeal to rhe Board.
2. (2) On an appeal made to the Board undcr sub-section
   • (I) the Chief Town Planncr shall aftcr giving reasonable oppol-tunity of being hcard to such pcrson and the planning a11 thori ty concerned make a report to the Board.
3. (3) The Board may, after taking into consideration the aforesaid report. and if it deems necessary, giving a reasonable opporrunity of being hcard to such person and the planning iiuthol-ity concerned, pass such ordcr as it deeins iit.

( 1) If any dcvelopment of land is comrncnced or carried out or any use is instituted or changed without payment of the amount of rhe development charge assessed under the provision of this Chapter, the amount of the development charge, shall subjecl to prior payment of the land rcvcnue, if any, bc a first charge upon the interest of the person so liable in the land on which devclopmcnt has bcen commenced or carried out or the use has hecn instituted or changcd and also in any othcr land in which such person has any interest.

1. (2) The development charge shall be rccovcrable as arrears of land revcnue.