Section 85 in Andhra Pradesh Municipalities Act, 1965
85. Levy of property tax.
(1)Where the Council by resolution determines that a property tax shall be levied, such tax shall be levied on all buildings and lands within the municipal limits save those exempted by or under this Act or any other law.The property tax may comprise(a)a tax for general purposes;(b)a water and drainage tax to provide for expenses connected with the construction, maintenance, repair, extension or improvement, of water or drainage works here to before provided or hereafter to be provided;(c)a lighting tax to provide for expenses connected with the lighting of the municipality by gas or electricity; and(d)a scavenging tax to provide for expenses connected with the removal of rubbish, filth or the carcases of animals from private premises:Provided that where the water and drainage tax is levied, the council shall declare what proportion of tax is levied in respect of water-works and the remainder shall be deemed to be levied in respect of drainage works and the proportion so declared shall also be specified in the notification published under Section 83:Provided further that the proportion so fixed shall not be altered without the previous sanction of the Government.(2)Save as otherwise provided in this Act and subject to the provisions of Sections 81 and 87 and in accordance with the rules made by the Government in this behalf these taxes shall be levied at such percentages of the annual rental value of lands or buildings or both as may be fixed by the council; Provided that in the case of lands and buildings vested in the trustees of Port of Visakhapatnam, these taxes levied in any half-year shall be at one per centum of the annual gross earnings of the Visakhapatnam Port Trust in the year immediately preceding such levy.Provided further that the percentage of the property tax fixed under this sub-section shall be such that the incidence of property tax together with the education tax and library cess levied under the relevant law, shall not exceed twenty five percentum of the annual rental value in the case of residential buildings and thirty-three per centum of the annual rental value in the case of non-residential buildings.(3)(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 building, levy these taxes, at such percentages of the capital value of the lands or at such rates with reference to the extent of the lands as may be fixed by the council;Provided that such percentages or rates shall not exceed the maximum, if any, fixed by the Government and that the capital value of such lands shall be determined in such manner as may be prescribed.(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 these taxes at such percentages of the capital value of such lands, and the Government shall have power to make rules regarding the manner in which, the person or persons by whom and the intervals at which, the capital value of such lands shall be determined, and they may also by such rules restrict or modify the application of the provisions contained in Schedule II to such lands.(4)The council may, in the case of lands used exclusively for agricultural purposes, levy these taxes at such proportions of land revenue payable thereon as it may fix with the approval of the Government.(5)[ Notwithstanding anything contained in this Act and the Rules made thereunder, where a building is constructed or re-constructed, or some structures are raised unauthorisedly, it shall be competent to the assessing authority to levy property tax on such building or structure with a penalty of ten percent on the amount of tax levied till such unauthorised construction is demolished or regularised.(6)A separate receipt for the penalty levied and collected shall be issued.] [Added by Act No. 35 of 1998, dated 22.12.1998.]
