Section 44 in The U.P. Zamindari Abolition and Land Reforms Act, 1950
44. Net assets of an intermediary.
- For purposes of Section 40, the net assets of an intermediary' in respect of a mahal shall be computed by deducting from his gross assets the following, namely-(a)any sum which was payable by him in the previous agricultural year to the State Government or superior land-holder on account of land revenue or rent and cesses or local rates in respect of his share or interest in the mahal,(b)an amount on account of agricultural income-tax, if any, paid or to be paid for the previous agricultural year by the intermediary in respect of his share or interest in the mahal calculated in the manner prescribed;(c)cost of management and irrecoverable arrears of rent equal of fifteen per centum of the gross assets;(d)where the intermediary holds any land in his personal cultivation or as khudkasht, intermediary's grove or sir (other than sir in which hereditary rights accrue), an amount computed at ex-proprietary rates, less the deductions (i) to (iii) hereinafter mentioned, for such portions only of the land in his personal cultivation or held as khudkasht, grove-land or sir as is mentioned in Section 18;(i)the agricultural income tax, if any, payable therefor, in the previous agricultural year in respect of the land to be ascertained in the prescribed manner;(ii)the land revenue, cesses and local rates payable therefor in the previous agricultural year to be ascertained in the prescribed manner; and(iii)fifteen percentum of such amount on account of matters referred to in Clause (c);(e)the average of the income-tax paid in respect of the income from royalties mentioned in Clause (f) of Section 39 computed over the period mentioned in the said clause and the cost of collection at such rates as may be prescribed;(f)ninety-five percentum of the gross income determined under Clause (g) of Section 39, which shall be deemed to be the part of the income reserved to him in respect of the rights contained in Chapter VI.Explanation. - For the purposes of this section, land revenue which has been assigned, released, compounded or redeemed by reason of any grant or confirmation made by or on behalf of the State or any other competent authority in favour of such intermediary shall not be deemed to be a sum payable as land revenue to the State Government.
