Section 173 in Karnataka Municipal Corporations Act, 1976
173. Re-adjustment of income and expenditure to be made by the corporation during the course of the official year whenever necessary.
(1)If it shall at any time during any year appear to the corporation upon the representation of the standing committee for [taxation, finance and appeals] [Substituted by Act 35 of 1994 Notification bringing it into force not available.] [or as the case may be, standing committee for taxation and finance] [Inserted by Act 27 of 1998 w.e.f. 21.11.1998.], that, notwithstanding any reduction of budget grants that may have been made under section 172, the income of the corporation fund during the said year will not suffice to meet the expenditure sanctioned in the budget estimate of the said year and to leave at the close of the year a cash balance of not less than one lakh of rupees under General Account-Revenue, it shall be incumbent on the corporation either to diminish the sanctioned expenditure of the year, so far as it may be possible so to do with due regard to all the requirements of this Act, or to have recourse to supplementary taxation, or to adopt both of these expedients in such measure as may be necessary to secure an estimated cash balance of not less than one lakh of rupees under General Account - Revenue at the close of the year.(2)Whenever the corporation determines to have recourse to supplementary taxation in any year, it shall do so by increasing for the unexpired portion of the year the rate at which any tax or duty is being levied subject to the conditions, limitations and restrictions laid down in Chapter X.
