(1)At district level, a separate fund known as Panchayat Raj Fund shall be constituted and it shall be operated in such a manner as may be prescribed by the State Government.(2)Receipts (Proceeds) of the cess under section (93) or such other taxes under the Panchayat as may be specified by the State Government shall be deposited in the said Fund, after making deduction there from of such collection charges as may from time to time be determined by the State Government.(3)Receipts of additional stamp fees if any, shall firstly, be deposited in the consolidated fund of the state in such a manner, as may be prescribed and the State Government may, at the commencement of every financial year, if such provision is made by appropriation (Bill) passed in this behalf by the Legislative Assembly, withdraw from the consolidated fund of the State such an amount as will be equal to the receipts made (realised) by the State Government in the preceding year.(4)Distribution of the amount among Panchayats - The consolidated amount in the Panchayat Raj Fund shall be distributed among the three-tier Panchayat in such manner and in such proportion as may be ascertained by the State Government.
