(1)for every Gaon Panchayat there shall be constituted a Gaon Panchayat at fund bearing the name of the Gaon Panchayat and there shall be placed to the credit thereof:(a)contribution and grants, if any made by the central or the State Government;(b)Contribution and a grants, if the made by the Zilla Parishad, Anchalik Panchayat or any other local authority;(c)Loans, if any, granted by the Central or the State Government;(d)All receipts on account of taxes, rates and fees levied by it;(e)All receipts in respect of any schools, hospitals, dispensary, buildings, institutions or works vested in, constructed by or placed under the control and management of the Gaon Panchayat.(f)all sums received as gifts or contribution and all income from any trust or endowment made in favour of the Gaon Panchayat;(g)such fines and penalties imposed or realized under the provisions of this Act as may be prescribed;(h)all other sums received by or on behalf of others Gaon Panchayat.(2)Every Gaon Panchayat shall set apart and apply annually such sum as may as required to meet the cost of its own administration including payment of wages and purchase of furniture and other office equipment and stationery articles and to meet the charges on electricity post and telegraphs, P.O.L. etc. and other incidental charges;Provided that the total expenditure on establishment shall not exceed one third of the total expenditure of the Gaon Panchayat in a year.(3)Every Gaon Panchayat shall have the powers to spend such sums as it thinks fit for carrying out the purposes of this Act.(4)The Gaon Panchayat fund shall be vested in the Gaon Panchayat and the balance to the credit of the fund shall be kept in the custody of the Gaon Panchayat Secretary.
