Conditions and restrictions for tax on Circumstances and property

The powers of a Zila Panchayat to impose a tax on Circumstances and Property shall be subject to the following conditions and restrictions, namely- (a) the tax may be imposed on any person residing or carrying on business in the rural area provided that such person has so resided or carried on business for a total period of at least six months in the financial assessment year; (b) no tax shall be imposed on any person whose total taxable income is less than fifty thousand rupees per annum; (c) the rate of tax or the maximum limit of annual income, as fix by the State Government and communicate to the Zila Panchayat thereafter it may be imposed by the Zila panchayat in such case only; (d) the total amount of tax imposed on any person shall not exceed such maximum estimated amount, if any, which may be prescribed by the State Government by rule; Provided that for the purpose of this section taxable income means estimated income but shall not include income of the following classes : -- (1) "agricultural income" as defined in the Indian Income Tax Act;