203. Levy and Collection upto twenty five paise as cess on every rupee of land revenue.
(1)A village panchayat may by resolution passed by its meeting, apply to levy a cess at the rate not exceeding twenty-five paise, according to its needs and capacity, on every rupee of every sum payable to the State Government as land revenue, and on which a cess is leviable under clauses (a), (b) and (c) of sub-section (1) of section 191 and thereupon the State Government shall (in addition to any cess leviable under section 191) levy and collect such cess in the area within the jurisdiction of such panchayat.(2)Where a village panchayat undertakes for the benefit of the community any special work or project so as to complete it within a specified period and for that purpose an additional provision of funds is necessary, the panchayat may by resolution passed at its meeting and with the previous permission of the district panchayat apply, to the State Government to increase the rate of cess levied in accordance with sub-section (1) to such extent and for such period as may be specified in the resolution;Provided that such increase shall not exceed one hundred paise on every rupee of every sum payable to the State Government as ordinary land revenue.(3)On receipt of an application under sub-section (1) or (2) the State Government shall levy the cess or increase the rate thereof as proposed by the panchayat and subsection (1) shall have effect accordingly.(4)The net proceeds (after deducting the expenses of assessment and collection) of any cess levied and collected in accordance with sub-section (1) shall form part of and be paid into the Village fund.(5)The State Government may, at the request of the panchayat to which the cess referred to in sub-section (1) is payable, suspend the collection of the cess or any portion thereof in any year.
