Chapter XIV. Taxation and Finance

230. Enumeration of taxes and duties.—

(1) Every Municipality may levy-

    1.  a property tax;
    2.  a profession tax;
    3.  a tax on animals and vessels;
    4.  a show tax;
    5.  a tax on advertisements;
    6.  a tax on timber brought into the municipal area;
    7. a duty on certain transfers of immovable property in the shape of an additional stamp duty subject to the rules framed by Government.

(2) The Municipality may, for the purpose of providing any specific civic service or amenity;levy a surcharge on any tax other than profession tax levied by the Municipality: Provided that no surcharge shall be levied if a tax or cess is already being levied for the same purpose: Provided further that such surcharge shall, in no case, exceed ten per cent, of the amount of the tax.

(3) The Municipality may in the manner prescribed levy a land conversion cess not exceeding rupees seventy five per are from the landholder in respect of a paddy field, marshy land,pond or watershed held by him which is converted into garden land or building site.Explanation.— Nothing in this section shall be deemed to affect any of the provisions of the Kerala Land Utilisation Order,J967.

231. Resolution of Council deciding to levy tax.

(I) Any resolution of a Council determining to  levy a tax shall specify the rate at which and the date from which any such tax shalJ be levied.

(2) Before passing a resolution imposing a tax for the first time or increasing the rate of an existing tax, the Municipality shall publish a notice in the Gazette, at least in one newspaper published in the language of the locality having wide circulation in the Municipality, on the notice board of the office of the Municipality and in such other places within the municipal area as may be specified by the Council and in any other manner as it may determine, of its intention, fix a reasonable period not being Jess than one month for submission of objections, and consider the objection if any, received within the period specified.

(3) Any resolution abolishing an existing tax or reducing the rate at which a tax is levied shall immediately be reported to the Government:

Provided that in the case of a Municipality which has an outstanding loan either from the Government or from the Public or any other local body, such abolition or reduction shall not have effect without the sanction of the Government.

(4) Where any resolution under this section has taken effect for a particular year, no proposal to alter the rate or date fixed in such resolution so far as that year is concerned shall be taken into consideration by the Council.

232. Notification of new taxes.— Where a Council determines under section 231 to levy any tax for the first time or at a new rate, the Secretary shall forthwith publish in the prescribed manner the rate at which , the date from which and the period of levy, if any, for which such tax shall be levied.