Section 256(5) in Karnataka Municipalities Act, 1964
(5)Where a licence is granted under this section for the use of any place outside the limits of the [municipal area] [Substituted by Act 36 of 1994 w.e.f. 1-6.1994.], the municipal council shall pay to the local authority within the limits of which such place is situated, such proportion of the fee received by the municipal council for the grant or renewal of such licence as the Government may, by general or special order, determine.