Section 120 in The Madurai City Municipal Corporation Act, 1971
120. Description of property tax.
(1)If the council by resolution determines that a property tax for general purposes shall be levied, such tax shall be levied on all buildings and lands within the City save those exempted by or under this Act or any other law.(2)Save as otherwise provided in this Act, the property tax shall be levied at such percentage of the annual value of buildings, or lands which are occupied by, or adjacent and appurtenant to buildings or both, as may be fixed by the council subject to the provisions of section 116:Provided that the aggregate of the percentages so fixed shall not in the case of any land or building be less than fifteen and a half per cent or greater than thirty five per cent of its annual value.(3)For the purpose of assessing the property tax, the annual value of any building or land shall be determined by the Commissioner:Provided that the annual value of any building or land the tax for which is payable by the Commissioner shall be determined by the Mayor.(4)(a)Save as otherwise provided in clause (b), the council shall, in the case of lands which are not used exclusively for agricultural purposes and are not occupied by, or adjacent and appurtenant to buildings, levy the property tax on the capital value of such lands at such percentages as it may fix which shall not exceed six per cent of their capital value;(b)In the case of railway lands, which are not used exclusively for agricultural purposes and are not occupied by, or adjacent and appurtenant to buildings, the council shall levy property tax on the annual value of such lands at such percentages which shall not exceed seventeen and one-third per cent of their annual value and the Government shall have power make rules regarding the manner in which the person or persons by whom and the intervals at which the annual value of such lands shall be estimated or revised and they may also by such rules, restrict or modify the application of the provisions contained in Schedule II to such lands.(5)(a)The council shall, in the case of lands used exclusively for agricultural purposes, levy property tax at such proportions as it may fix, of the annual value of such lands calculated in the manner specified in clause (b):Provided that the proportion shall not exceed the maximum, if any, fixed by the Government.(b)(i)In the case of lands held direct from Government on ryotwari tenure or on lease or licence, the assessment, lease amount, royalty or other sum payable to Government for the lands together with any water-rate which may be payable for their irrigation, shall be taken to be the annual value;(ii)In the case of lands held on any tenure other than ryotwari tenure, the annual rent payable to the landholder, sub-landholder or any other intermediate landholder holding on an under tenure created, continued or recognized by a landholder or sub-landholder, as the case may be, by his tenants together with any water-rate which may be payable for their irrigation, shall be taken to be the annual value; and where such lands are occupied by the owner himself or by any person holding the same from him free of rent or at a favourable rent, the annual value shall be calculated according to the rates of rents usually paid by occupancy ryots for ryoti lands in the neighbourhood with similar advantages, together with any water-rate which may be payable for the irrigation of the lands so occupied;(iii)In the case of lands, the assessment of rent of which is paid in kind, the annual value shall be calculated according to the rates of rent established or paid for neighbouring lands of a similar description and quality, together with any water-rate which may be payable for the irrigation of the lands first mentioned;(c)If such lands be occupied by tenants, the council shall levy the taxes in equal shares, from the landholder and the tenant respectively;(d)Subject to any rules which the Government may make in this behalf, the Commissioner shall have the power to require the staff of the Land Revenue Department to collect the taxes due to the council in respect of such lands on payment of such remuneration not exceeding five per cent of the gross sum collected as the District Collector having jurisdiction over the City of Madurai may, by general or special order, determine.
