LexThe Himachal Pradesh Passengers and Goods Taxation Act, 1955
Himachal Pradesh · state statute
Open in Lexace · Ask the AI about this actTHE HIMACHAL PRADESH PASSENGERS AND GOODS
TAXATION ACT, 1955
ARRANGEMENT OF SECTIONS
Sections:
1. Short title, extent and commencement.
2. Definitions.
3. Levy of tax.
3-A. Levy of surcharge.
3-B. Levy of additional goods tax.
4. Method of collection of tax.
4-A. Collection of additional goods tax by a perso n selling or
causing or authorizing to cause dispatch or transpo rt of
goods.
5. Method of levy.
6. Keeping of accounts and submission of returns.
6-A. Procedure to maintain records, through electr onic data
system etc
7. Taxing Authorities.
7-A. Assistance to taxing authorities.
8. Registration of owner.
9. Grant of Registration Certificate.
9-A. Owner to furnish security.
9-B. Assessment of tax and surcharge.
9-C. Re-assessment of tax and surcharge.
10. Exemptions.
11. Supply of time table and table of fares and fr eights.
12. Arrears of tax to be recovered as arrears of l and revenue.
12-A. Payment of interest.
13. Powers of entry and inspection.
13-A. Impounding of a Licence.
13-AA. Power to detain vehicles.
14. Production of tickets.
14A. Penalty.
14-B. Establishment of check posts or barriers and inspection of
goods in transit.
2 THE HIMACHAL PRADESH PASSENGERS AND GOODS TAXAT ION ACT, 1955
14-C. Penalties.
14-D. Composition of offences.
15. Appeals.
16. Revisions.
17. Offences and penalties.
18. Power to compound offences.
19. Bar of proceedings.
20. Exclusion of jurisdiction of civil courts.
21. Refunds.
21-A. Power to amend Schedule.
22. Powers to make rules.
SCHEDULE-I
SCHEDULE-II
THE HIMACHAL PRADESH PASSENGERS AND GOODS
TAXATION ACT, 1955
(ACT No. 15 OF 1955)
1
(Received the assent of the President on the 25 th November, 1955, and
was published in Hindi, in the Rajpatra, Himachal P radesh (Extra-ordinary),
dated the 23 rd December, 1955, pp. 415-423 and in English in the Rajpatra,
Himachal Pradesh, dated the 17 th November, 1956, pp. 648-651).
Amended, repealed or otherwise affected by, -
(i) H.P. Act No. 7 of 1966 2 assented to by the President on the
14 th April, 1966, published in the Rajpatra, Himachal P radesh
(Extra-ordinary), dated the 2nd June, 1966, pp. 399-400.
(ii) H.P. Act No. 9 of 1968 3, assented to by the President on the
7th May, 1968, published in the Rajpatra, Himachal Pra desh
(Extra-ordinary), dated the 13 th September, 1968, pp.925-929.
1. Passed in Hindi by H.P. Vidhan Sabha. For State ment of Objects and Reasons,
see the Rajpatra, Himachal Pradesh (Extra-ordinary) , dated the 9 th September,
1955, p. 289.
2. For Statement of Objects and Reasons, see the R ajpatra, Himachal Pradesh
(Extra-ordinary), dated 8 th February, 1966, p. 137.
3. For Statement of Objects and Reasons, see the Ra jpatra, Himachal Pradesh
(Extra-ordinary), dated 19 th January, 1968, p. 15. The Principal Act as amended
by this Act and all rules, notification and orders made, and all directions or
instructions issued which are in force immediately before the commencement of
this Act in the territory to which the said Act app lies are hereby extended to and
shall be in force in the territories transferred to Himachal Pradesh under section 5
of the Punjab Re-organisation Act, 1966.
THE HIMACHAL PRADESH PASSENGERS AND GOODS TAXATION ACT, 1955 3
(iii) H.P. Act, No. 23 of 1969 1, assented to by the President on
the 24 th June, 1969, published in the Rajpatra, Himachal
Pradesh (Extra-ordinary), dated the 26 th July, 1969, pp. 723.
(iv) H.P. Act No. 4 of 1972 2, assented to by the Governor on the
20 th April, 1972, published in the Rajpatra, Himachal
Pradesh (Extra-ordinary), dated the 21 st April, 1972, pp. 398-
399.
(v) The Himachal Pradesh Adoption of Laws (State a nd
Concurrent Subjects) Order, 1973, published in the Rajpatra,
Himachal Pradesh (Extra-ordinary), dated the 20 th January,
1973, pp. 91-112, effective from 25 th January, 1971.
(vi) H.P. Repealing Act No. 11 of 1973, assented t o by the
Governor on the 18 th May, 1973, published in the Rajpatra,
Himachal Pradesh (Extra-ordinary), dated the 24 th May,
1973, pp. 770-771, effective from 1 st April, 1973.
(vii) H.P. Act No. 1 of 1978 3, assented to by the Governor on the
3rd February, 1978, published in the Rajpatra, Himacha l
Pradesh (Extra-ordinary), dated 4 th February, 1978, pp. 71-
73.
(viii) H.P. Act No. 27 of 1984 4, assented to by the Governor on
the 25 th October, 1984, published in the Rajpatra, Himachal
Pradesh (Extra-ordinary), dated 30 th October, 1984, pp.
1837-1839.
(ix) H.P. Act No. 6 of 1985 5, assented to by the Governor on the
6th August, 1985, published in the Rajpatra, Himachal
Pradesh (Extra-ordinary), dated 13 th August, 1985, pp. 1249-
1251, effective from 14 th November, 1977.
(x) H.P. Act No. 2 of 1987 6, assented to by the Governor on the
31 st December, 1986, published in the Rajpatra, Himach al
Pradesh (Extra-ordinary), dated 3 rd January, 1987, p. 99,
effective from 28 th October,1986.
1 For Statement of Objects and Reasons, see the Ra jpatra, Himachal Pradesh
(Extra-ordinary), dated 9 th April, 1969, p. 325.
2 For Statement of Objects and Reasons, see the Ra jpatra, Himachal Pradesh
(Extra-ordinary), dated 1 st April, 1972, p. 312.
3 For Statement of Objects and Reasons, see the Ra jpatra, Himachal Pradesh
(Extra-ordinary), dated 31 st December, 1977, p. 1223.
4 For Statement of Objects and Reasons, see the Ra jpatra, Himachal Pradesh
(Extra-ordinary), dated 12 th September, 1984, p. 1562.
5. For Statement of Objects and Reasons, see the R ajpatra, Himachal Pradesh
(Extra-ordinary), dated 6 th July, 1985, p. 1026.
6. For Statement of Objects and Reasons, see the R ajpatra, Himachal Pradesh
(Extra-ordinary), dated 3 rd December, 1986, p. 2182.
4 THE HIMACHAL PRADESH PASSENGERS AND GOODS TAXAT ION ACT, 1955
(xi) H.P. Act No. 10 of 1988 1, assented to by the Governor on
the 27 th May, 1988, published in the Rajpatra, Himachal
Pradesh (Extra-ordinary), dated 31 st May, 1988, pp. 949-954.
(xiii) H.P. Act No. 8 of 1991 2, assented to by the Governor on the
18 th April, 1991, published in the Rajpatra, Himachal
Pradesh (Extra-ordinary), dated 20 th April, 1991, pp. 803-
814. Clause (ii) of section 2 and section 4 of this Act shall be
deemed have come into force from 1st October, 1990.
(xiv) H.P. Act No. 1 of 1997 3, assented to by the Governor on the
7th January, 1997, published both in Hindi and English in the
Rajpatra, Himachal Pradesh (Extra-ordinary), dated 7th
January,1997, pp. 43-58, effective from. 1 st October, 1996.
(xv) H.P. Act No. 20 of 1997 4, assented to by the Governor on
the 27 th September, 1997, published both in Hindi and
English in the Rajpatra, Himachal Pradesh (Extra-or dinary),
dated 1 st October, 1997, pp. 3915-3930. Sections 2, 3, 4, 5, 6
and 7 of this Act shall and shall always be deemed to have
been made retrospectively from the date of the
commencement of the Principal Act and the remaining
sections came into force from 14
th August, 1997.
(xvi) H.P. Act No. 1 of 1999 5, assented to by the Governor on the
4th January, 1999, published both in Hindi and English in the
Rajpatra, Himachal Pradesh (Extra-ordinary), dated 8th
January, 1999, pp. 91-96.
(xvii) H.P. Act No. 12 of 2004 6, assented to by the Governor on
the 22 nd July, 2004, published both in Hindi and English in
the Rajpatra, Himachal Pradesh (Extra-ordinary), da ted 26 th
July, 2004, pp. 1349-1352.
1. For Statement of Objects and Reasons, see the R ajpatra, Himachal Pradesh
(Extra-ordinary), dated 7th April, 1988, p. 489.
2. Passed in Hindi by the Himachal Pradesh Vidhan Sabha. For Statement of
Objects and Reasons, see the Rajpatra, Himachal Pra desh (Extra-ordinary), dated
14 th March, 1991, p. 308 and 314.
3. Passed in Hindi by the Himachal Pradesh Vidhan Sabha. For Statement of
Objects and Reasons, see the Rajpatra, Himachal Pra desh (Extra-ordinary), dated
2nd December, 1996, p. 5396-5397 and 5406-5407.
4. Passed in Hindi by the Himachal Pradesh Vidhan Sabha. For Statement of
Objects and Reasons, see the Rajpatra, Himachal Pra desh (Extra-ordinary), dated
21 st August, 1997, pp. 3244 and 3253.
5. Passed in Hindi by the Himachal Pradesh Vidhan Sabha. For Statement of
Objects and Reasons, see the Rajpatra, Himachal Pra desh (Extra-ordinary), dated
7th December, 1998, pp. 4153 and 4157.
6. Passed in Hindi by the Himachal Pradesh Vidhan S abha. For Statement of
Objects and Reasons, see the Rajpatra, Himachal Pra desh (Extra-ordinary), dated
30 th June, 2004, pp. 1058 and 1061.
THE HIMACHAL PRADESH PASSENGERS AND GOODS TAXATION ACT, 1955 5
(xviii) H.P. Act No. 5 of 2005 1, assented to by the Governor on the
23 rd January, 2005, published both in Hindi and English in the
Rajpatra, Himachal Pradesh (Extra-ordinary), dated 27 th
January, 2005, pp. 3579-3582.
(xix) H.P. Act No. 7 of 2006 2, assented to by the Governor on the
9th May, 2006, published both in Hindi and English in the
Rajpatra, Himachal Pradesh (Extra-ordinary), dated 10 th May,
2006, pp. 931-936.
(xx) H.P. Act No. 5 of 2011 3, assented to by the Governor on the
22 nd January, 2011, published both in Hindi and English in
the Rajpatra, Himachal Pradesh, dated 27 th January, 2010, pp.
8317-8318, effective from 7th October, 2010.
(xxi) H.P. Act No.13 of 2012 4, assented to by the Governor on the
3rd May, 2012, published both in Hindi and English in the
Rajpatra, Himachal Pradesh, dated 7 th May, 2012, pp. 878-
879.
(xxii) H.P. Act No. 4 of 2013 5, assented to by the Governor on the
5th January, 2013, published both in Hindi and English in the
Rajpatra, Himachal Pradesh, dated 16 th January, 2013, pp.
6006-6010.
(xxiii) H.P. Act No. 51 of 2013 6, assented to by the Governor on the
30 th September, 2013, published both in Hindi and Engli sh in
the Rajpatra, Himachal Pradesh, dated 4 th October, 2013, pp.
3988-3989.
1. Passed in Hindi by the Himachal Pradesh Vidhan Sabha. For Statement of
Objects and Reasons, see the Rajpatra, Himachal Pra desh (Extra-ordinary), dated
20 th December, 2004, pp. 2827 and 2841.
2. Passed in Hindi by the Himachal Pradesh Vidhan Sabha. For Statement of
Objects and Reasons, see the Rajpatra, Himachal Pra desh (Extra-ordinary), dated
29 th March, 2006, pp. 8421 and 8425.
3. Passed in Hindi by the Himachal Pradesh Vidhan Sabha. For Statement of
Objects and Reasons see the Rajpatra, Himachal Prad esh, dated 20 th December,
2010, pp. 7489 and 7492.
4. Passed in Hindi by the Himachal Pradesh Vidhan Sabha. For Statement of
Objects and Reasons see the Rajpatra, Himachal Prad esh, dated 3 rd April, 2012,
pp. 19-20 and 21.
5. Passed in Hindi by the Himachal Pradesh Vidhan Sabha. For Statement of
Objects and Reasons see the Rajpatra, Himachal Prad esh, dated 30 th August,
2012, pp. 3194 and 3197.
6. Passed in Hindi by the Himachal Pradesh Vidhan Sabha. For Statement of
Objects and Reasons see the Rajpatra, Himachal Prad esh, dated 27 th August,
2013, pp. 2983 and 2984.
6 THE HIMACHAL PRADESH PASSENGERS AND GOODS TAXAT ION ACT, 1955
(xxiv) H.P. Act No. 25 of 2015 1, assented to by the Governor on
the 17 th October, 2015, published both in Hindi and English
in the Rajpatra, Himachal Pradesh, dated 20 th October,
2015, pp. 4830-4831.
An Act to provide for levying a tax on passengers a nd goods carried by
road in 2[certain] motor vehicles.
BE it enacted by the Legislative Assembly of the Stat e of Himachal
Pradesh in the Sixth Year of Republic of India as follows :-
1. Short title, extent and commencement.- (1) This Act may be
called the Himachal Pradesh Passengers and Goods Taxation Act, 1955.
(2) It shall extend to the whole of the State of Himachal Pradesh.
(3) It shall come into force at once.
2. Definitions.- In this Act, unless there is anything repugnant in the
subject or context,-
3[(a) “Assessing Authority” means any person author ised by the
State Government to make any assessment under this Act;]
4[(aa) “business” includes.-
(i) the business of carrying passengers and goods by motor
vehicles;
(ii) any trade, commerce or manufacture, or any ad venture
or concern in the nature of trade, commerce, or
manufacture whether or not such trade, commerce,
manufacture, adventure or concern is carried on wit h a
motive to make gain or profit and whether or not an y
gain or profit accrues from such trade, commerce,
manufacture, adventure or concern; and
(iii) any transaction in connection with, or incide ntal or
ancillary to, such trade, commerce, manufacture,
adventure or concern;]
(b) “Commissioner” means the
5[Excise and Taxation
Commissioner] of Himachal Pradesh;
1. Passed in Hindi by the Himachal Pradesh Vidhan Sabha. For Statement of
Objects and Reasons see the Rajpatra, Himachal Prad esh, dated 4 th September,
2015, pp. 3452-3453 and 3454.
2. Omitted vide H.P. Act No. 20 of 1997 effective, effective from 14 th August,
1997.XC
3. Existing clause (a) re-numbered as (aa) and new clause (a) inserted vide H.P. Act
No. 8 of 1991.
4. Clause (aa) substituted vide H.P. Act No. 20 of 1997, effective, effective from
14 th August, 1997.
5. Substituted for the words “Financial Commission er” by H.P. Act No. 7 of 1966.
THE HIMACHAL PRADESH PASSENGERS AND GOODS TAXATION ACT, 1955 7
1[(c) “fare” or “freight” includes sums fixed by the competent
authority under the Motor Vehicles Act for the hire of motor
vehicles for carriage of passengers and the transpo rt of goods
therein and includes the sum payable for a season t icket, and
where no such fare or freight has been fixed, also includes
such sum as specified in Schedule-I];
(d) “goods” include live-stock, and anything carrie d by a motor
vehicle except living persons, but does not include the
personal luggage of passengers travelling in the ve hicles
when such luggage is not charged for, and the equip ment
ordinarily used with the vehicle;
2[(da) “kilogram” means kilogram as defined in the S tandards of
Weights and Measures Act, 1976 (6 of 1976);]
3[(db) ‘mini-bus’ means a stage carriage having the capacity to carry
not more than 30 passengers excluding the driver an d the
conductor;]
4[(e) “motor vehicle” means any transport vehicle, which is
mechanically propelled and adapted for use upon roa ds
whether the power of propulsion is transmitted ther eto from
an external or internal source, or a trailer when a ttached to
any such vehicle and includes-
(i) a motor vehicle used for carriage of passenger s or
goods or both for hire or reward in contravention o f the
provisions of the Motor Vehicles Act; and
(ii) a maxi cab, which is constructed or adapted to carry
more than six passengers, but not more than twelve
passengers;]
5[(ea) “Motor Vehicles Act” means the Motor Vehicles Act, 1939 (4
of 1939) and the Motor Vehicles Act, 1988 (59 of 19 88), as
the case may be;]
6[(f) “owner” means the owner of the motor vehicle, used for
1. Clause (c) substituted vide H.P. Act No. 20 of 1997 effective, effective from 14 th
August, 1997.
2. Clause (da) inserted vide H.P. Act No. 1 of 199 7, effective from 1 st October,
1996.
3. Clause (dd) inserted vide H.P. Act No. 10 of 19 88 and re-numbered as clause
(db) vide H.P. Act No. 1 of 1997, effective from 1 st October, 1996.
4. Clause (e) substituted vide H.P. Act No. 10 of 1 988, H.P. Act No. 8 of 1991,
effective from 1 st October, 1990 and again substituted vide H.P. Act No. 20 of
1997, effective from 14 th August, 1997.
5. Clause (ea) inserted vide H.P. Act No. 20 of 19 97, effective from 14 th August,
1997.
6. Clause (f) substituted vide H.P. Act No. 1 of 1 978.
8 THE HIMACHAL PRADESH PASSENGERS AND GOODS TAXAT ION ACT, 1955
carrying passengers or transporting goods in or thr ough the
territory of the State of Himachal Pradesh, and includes,-
(a) the de-facto and de-jure owners;
(b) any person for the time being incharge of such vehicle;
(c) any person responsible for the management of t he place
of business of such owners;
(d) the Government or Corporation constituted unde r the
Road Transport Corporation Act, 1950 (64 of 1950);]
1[(g) “passenger” means any person travelling in a m otor vehicle,
but shall not include the driver or the conductor o r any
employee of the owner of the vehicle travelling in the
bonafide discharge of his duties in connection with the
vehicle;]
2[(ga) ‘prescribed’ means prescribed by rules frame d under this
Act;]
3[(gb) “private service vehicle” means a motor vehic le constructed
or adapted to carry more than six persons excluding the
driver and ordinarily used by or on behalf of the o wner of
such vehicle for the purpose of carrying persons fo r, or in
connection with, his trade or business;
(gc) “road” means a track for travel or transporta tion to and fro,
serving as a means of communication, between two places;]
4[(h) “prescribed authority” means any officer of t he Excise and
Taxation Department, not below the rank of an Excis e and
Taxation Inspector, appointed under sub-section (1) of
section 7 of this Act;
(i) “Schedule” means the Schedule appended to this Act;]
5[ XXXXXXXXXXXXXXXXXXXXXXX]
6[(ia) “transport vehicle” means a public service v ehicle, a goods
carriage, an educational institution bus or a priva te service
vehicle;
1. Clause (g) substituted vide H.P. Act No. 20 of 1997,, effective from 14 th August,
1997.
2. Clause (gg) inserted vide H.P. Act No. 8 of 199 1, re-numbered as (ga) vide H.P.
Act No. 20 of 1997, effective from 14 th August, 1997.
3. Clauses (gb) and (gc) inserted vide H.P. Act No . 20 of 1997, effective from 14 th
August, 1997.
4. Clause (h) re-numbered as clause (j) and new cl auses (h) and (i) inserted vide
H.P. Act No. 1 of 1997, effective from 1 st October, 1996.
5. Definition of “State Government or Government” o mitted vide A.O., 1973.
6. Clause (ia) inserted vide H.P. Act No. 20 of 19 97, effective from 14 th August,
1997.
THE HIMACHAL PRADESH PASSENGERS AND GOODS TAXATION ACT, 1955 9
(j) “State” means the State of Himachal Pradesh.]
1[(k) “tax” means the tax levied under section 3 an d 3-B of the
Act; and]
2[(l) all words and expressions used in this Act bu t not defined
shall have the meanings assigned to them in the 3[Motor
Vehicles Act, 1988 (59 of 1988).]
3. Levy of tax.- 4[(1) There shall be levied, charged and paid to the
State Government a tax,-
(i) on all fares in respect of all passengers carr ied by motor
vehicles at such rates not exceeding fifty percent of the value
of fares, and
(ii) on all freights in respect of all goods trans ported by motor
vehicles at such rates not exceeding five percent o f the value
of freight,
as the Government may, by notification, direct, sub ject to a minimum
of five paise in any one case, the amount of tax being calculated to the
nearest multiple of five paise by ignoring two pais e or less and
counting more than two paise as five paise.]
5[* * * * * *]
6[(1A) Notwithstanding anything contained in sub-sec tion (1), when
passengers are carried and goods are transported by a motor vehicle and-
(i) no fare or freight, whether chargeable or not has, been
charged, or
(ii) fare or freight has been charged at a concess ional rate,
the tax at the rates as directed by notification by the Government
under sub-section (1), shall be levied, charged and paid as if the
passengers were carried or goods were transported e ither on fares and
frights fixed by the competent authority under the Motor Vehicles Act
for different classes of roads and motor vehicles i n the State or on the
1. Clause (k) inserted vide H.P. Act No. 1 of 1997 , effective from 1 st October, 1996.
2. Original clause (j) re-numbered as clause (l) v ide H.P. Act No. 1 of 1997,
effective from 1 st October, 1996.
3. Substituted for the words, figure and sign “Moto r Vehicles Act, 1939 (4 of 1939)
vide H.P. Act No. 8 of 1991.
4. Sub-section (1) amended vide H.P. Act No. 7 of 1966, H.P. Act No. 9 of 1968,
substituted vide H.P. Act No. 23 of 1969, amended v ide H.P. Act No. 4 of 1972,
H.P. Act No. 2 of 1987 and substituted vide H.P. Ac t No. 1 of 1997, effective
from 1 st October, 1996.
5. Explanation omitted vide H.P. Act No. 20 of 199 7, effective from 14 th August,
1997.
6. New sub-section (1A) added vide H.P. Act No. 20 of 1997, effective from 14 th
August, 1997.
10 THE HIMACHAL PRADESH PASSENGERS AND GOODS TAXA TION ACT, 1955
fares and freights, for different classes of roads and motor vehicles,
specified in Schedule-I to this Act, whichever is higher:
Provided that the State Government, may, by notific ation, amend
Schedule-I, and thereupon the Schedule-I, shall stand amended accordingly:
Provided further that every notification amending Schedule-I, shall be
laid on the Table of the Legislative Assembly.]
(2) Where any fare or freight charged is a lump sum paid by a person
on account of a season ticket or as subscription or contribution for any
privilege, right or facility which is combined with the right of such person
being carried or his goods transported by a motor v ehicle, without any further
payment or at a reduced charge, the tax shall be le vied on the amount of such
lump sum or on such amount as appears to the prescr ibed authority to be fair
and equitable having regard to the fare or freight fixed by a competent
authority under the Motor Vehicles Act, 1[1988].
2[(2-A). Where a motor vehicle 3[xxxxxxxxxxxxxxxxxxxxx] plies for
hire or reward in contravention of the provisions o f the 4[Motor Vehicles Act,
1988 (59 of 1988)] the owner of such vehicle shall, without, prejudice to any
action which is or may be taken under the Act, be l iable to pay tax at the rate
specified in sub-section (1) or such amount of fare s and freights as may be
determined in the prescribed manner by the prescribed authority.]
(3) Where passengers are carried or goods transport ed by a motor
vehicle from any place outside the State 5[or from any place outside the State
to any place outside the State but through the Stat e or from any place within
the State to any other place within the State but t hrough the intervening
territory of another State] to any place within the State, or from any place
within the State to any place outside the State the tax shall be payable in
respect of the distance covered within the State at the rate laid down in sub-
section (1) and shall be calculated on such amount as bears the same
proportion to the total fare and freight as the dis tance covered in the State
bears to the total distance of the journey.
6[3-A. Levy of surcharge.- Notwithstanding anything contained in
sub-section (1) of section 3 of the Act, from and a fter the commencement of
this section, there shall further be levied and pai d to the State Government a
1. Substituted for the figure “1939” vide H.P. Act No. 8 of 1991.
2. Sub-section (2-A) added vide H.P. Act No. 10 of 1988, amended vide H.P. Act
No. 8 of 1991.
3. The sign and words “, other than public service vehicle” vide H.P. Act No. 8 of
1991.
4. Substituted for the words, sign, figure and brac kets “Motor Vehicles Act, 1939( 4
of 1949) vide H.P. Act No. 8 of 1991.
5. Inserted vide H.P. Act No. 7 of 1966.
6 Section 3-A added vide H.P. Act No. 4 of 1972 re pealed vide H.P. Repealing Act
No. 11 of 1973 and again added vide H.P. Act No. 1 of 1978.
THE HIMACHAL PRADESH PASSENGERS AND GOODS TAXATION ACT, 1955 11
surcharge on the tax payable by every passenger car ried by a 1[transport
vehicle, excluding a goods vehicle/carriage] for ea ch journey at a rate of 20%
subject to a minimum of 5 paise in any one case, th e amount of surcharge
being calculated to the nearest multiple of 5 paise by ignoring 2 paise or less
and counting more than 2 paise as 5 paise, for the purpose of 2[payment of ex-
gratia grant to a passenger] under the scheme to be prepa red and modified by
the State Government in the Official Gazette 3[:]
4[Provided that such scheme may be framed by the Sta te Government
with retrospective effect from which the surcharge was levied.]
5[3-B. Levy of additional goods tax.- (1) In addition to the tax levied
under section 3, on and from the commencement of th e Himachal Pradesh
Passengers and Goods Taxation (Amendment) Act, 1996 , there shall be
levied, charged and paid to the State Government, a n additional tax on the
transport of the goods specified in column (2) of t he 6[Schedule-II] at the
rates given in column (3) thereof for every slab of 7[two hundred and fifty]
kilometers or part thereof covered/being covered by road within the State.
(2) The tax under sub-section (1) shall be paid by a person-in-charge
or the driver of the motor vehicle, as the case may be, in the prescribed
manner, into the Government Treasury or the State B ank of India or to the
prescribed authority of the district through which the transport of goods is
affected subject to the condition that such authori ty shall issue him a receipt,
in the prescribed form, in token of having received the amount specified
therein.]
4. Method of collection of tax.- The 8[tax and surcharge] shall be
collected by the owner if the motor vehicle and pai d to the State Government
in the prescribed manner:
9[Provided that in case of goods carriages or motor cabs, maxi cabs
and scooter rickshaws, wherever an owner opts to pa y the tax or tax and
1 Substituted for the words “stage/contract carria ge” vide H.P. Act No. 20 of 1997
effective, effective from 14 th August, 1997.
2. Substituted for the words “insurance of a passe nger” vide H.P. Act No. 6 of 1985,
effective from 14 th November, 1977.
3. Substituted for the sign “.” vide H.P. Act No. 6 of 1985, effective from 14 th
November, 1977.
4. Proviso to section 3-A added vide H.P. Act No. 6 of 1985, effective from 14 th
November, 1977.
5. Section 3-B added vide H.P. Act No. 1 of 1997, effective from 1 st October, 1996.
6. Substituted for the word “Schedule” vide H.P. A ct No. 20 of 1997, effective from
14 th August, 1997.
7. Substituted for the words “one hundred and fift y” vide H.P. Act No. 5 of 2005.
8. Substituted for the word “tax” vide H.P. Act No . 1 of 1978.
9. Proviso to section 4 added vide H.P. Act No. 7 of 1966, amended vide H.P. Act
No. 27 of 1984, substituted by Act No. 8 of 1991, e ffective from 1 st October,
1990 and again substituted by Act No. 1 of 1997, ef fective from 1 st October,
1996.
12 THE HIMACHAL PRADESH PASSENGERS AND GOODS TAXA TION ACT, 1955
surcharge in lump-sum, the Government may accept a lump-sum in lieu of the
tax or tax and surcharge, as the case may be, payab le under sections 3 and 3-
A, on freight or fare in the manner prescribed.
Provided further that in case of motor vehicles (in cluding the stage
carriages or contract carriages), other than those specified in the first proviso,
in which the passengers are carried, wherever an owner opts to pay the tax and
surcharge in lump-sum, the State Government may accept a lump-sum, in lieu
of the tax and surcharge payable under sections 3 a nd 3-A, in the manner
prescribed, taking into consideration the registered capacity of the vehicle and
the distance to be covered by such motor vehicles u nder the permit issued for
such vehicles]
1[4-A. Collection of additional goods tax by a person selling or
causing or authorizing to cause dispatch or transpo rt of goods.- (1)
Notwithstanding anything to the contrary contained in sub-section (2) of
section 3-B, a person 2[selling or purchasing or causing or authorising to cause
dispatch or receipt] of goods for transport and dul y authorised by the
3[Assistant Excise and Taxation Commissioner or Excise and Taxation Officer
incharge of the district], shall in the prescribed manner, collect the amount of
tax payable under section 3-B from the person-in-ch arge or the driver of the
motor vehicle, as the case may be, in or on which g oods are to be transported
and the person making such collection shall, in the prescribed manner, make
payment of the same into the Government treasury.
(2) The person making such collection shall issue a certificate in the
prescribed manner, to the person-in-charge or the d river of the motor vehicle,
as the case may be, in or on which goods are to be transported and, on the
production of the certificate, no tax shall be paya ble under sub-section (2) of
section 3-B of the Act.
(3) If any person contravenes any or all of the pro visions of sub-
sections (1) and (2), the prescribed authority shal l, after giving opportunity of
being heard, by an order in writing, direct that su ch person shall pay by way
of penalty a sum not exceeding twice the amount of tax payable under sub-
section (1).
4[(3-a) Such person as specified in sub-section (1) shall, in the
prescribed manner, furnish a return every month to the Assistant Excise and
Taxation Commissioner or Excise and Taxation Office r–incharge of the
1 New section 4-A inserted vide H.P. Act No. 7 of 2006.
2 Substituted for the words “selling or causing or authorizing to cause dispatch”
vide H.P. Act No. 5 of 2011, effective from 7th October, 2010.
3 The words “Excise and Taxation Commissioner” was substituted for the words
and sign “State Government, by notification” vide H .P. Act No. 13 of 2012 and
again the words “.“Excise and Taxation Commissioner ” substituted vide H.P. Act
No. 25 of 2015
4 Sub-sections (3a), (b) and (c) inserted vide H.P . Act No. 4 of 2013.
THE HIMACHAL PRADESH PASSENGERS AND GOODS TAXATION ACT, 1955 13
District, within five days of the close of each mon th during which collection
was made by him alongwith the treasury challan.
(3-b) If a person specified in sub- section (1), fa ils without sufficient
cause to comply with the requirements of the provis ions of sub-section (3-a),
the Commissioner or any person appointed to assist him under section 7 of the
Act, may, after giving such person a reasonable opp ortunity of being heard,
direct him to pay by way of penalty a sum not exceeding five thousand rupees.
(3-c) If any person liable to pay tax under this Ac t, fails to pay the
amount of tax due from him, he shall, in addition t o the amount of tax, be
liable to pay simple interest on the amount of tax due and payable by him at
the rate of one percentum per month, from the date immediately following the
last date on which the person should have paid the tax under this Act, for a
period of one month, and thereafter, at the rate of one and a half percentum
per month till the default continues.]
(4) The provisions of section 12 shall mutatis mutandis apply for
recovery of any amount of tax payable and or any pe nalty imposed but not
deposited under this section.]
5. Method of levy.- (1) Save as otherwise provided by this Act, no
passenger shall be allowed to travel by the owner in a motor vehicle unless he
is issued a ticket in the prescribed form for the journey, denoting that the 1[tax
and surcharge] has been paid:
Provided that if a journey begins outside the State , the 2[tax and
surcharge] shall become chargeable on entry within the State, in the
prescribed manner.
(2) Save as otherwise provided by this Act, no goods shall be allowed
to be carried in a motor vehicle unless the person, in charge of the vehicle or a
passenger, as the case may be, has in his possession a receipt in the prescribed
form issued by the owner of the motor vehicle, showing the freight charged or
the freight chargeable at the usual current rate an d denoting, that the tax due
under the Act has been paid.
3[6. Keeping of accounts and submission of returns.- (1) An owner
shall keep such accounts and submit to the Assessin g Authority 4[either
manually or electronically] such returns at such in tervals as may be
prescribed.
(2) The owner shall pay 5[either manually or electronically] the full
amount of tax and surcharge due from him under this Act, in the prescribed
manner before furnishing returns referred to in sub -section (1) and attach
1. Substituted vide H.P. Act No. 1 of 1978.
2. Substituted vide H.P. Act No. 1 of 1978.
3. Section 6 amended vide H.P. Act No. 9 of 1968, H.P. Act No. 1 of 1978 and
substituted vide H.P. Act No. 8 of 1991.
4. Inserted vide H.P. Act No. 4 of 2013.
5. Inserted vide H.P. Act No. 4 of 2013.
14 THE HIMACHAL PRADESH PASSENGERS AND GOODS TAXA TION ACT, 1955
proof of payment with such returns:
Provided that where the amount of passengers tax an d surcharge is
paid by way of adhesive, stamps, the treasury recei pt for the purchase of such
stamps shall be attached with the returns.]
1[6-A. Procedure to maintain records, through electro nic data
system etc. .- (1) For the purpose of effective implementation of the provisions
of this Act, the provisions of the Information Tech nology Act, 2000 and the
rules made and directions issued thereunder, relati ng to procedure shall apply
mutatis mutandis.
(2) Where any notice, communication or intimation i s prepared on
any automated data processing system and is properly served on any dealer or
person, the said notice, communication or intimatio n shall not be required to
be personally signed by any officer or person and t he said notice,
communication or intimation shall not be deemed to be invalid on the ground
that it is not personally signed by such officer or person.
(3) Any person or dealer who makes an on-line appli cation under any
of the provisions of this Act shall be required to make such application under
his digital signature:
Provided that where such application is filed witho ut affixing digital
signature, the said person or dealer, as the case m ay be, shall be required to
submit to the appropriate authority, a duly signed hard copy of such
electronically made application as printed from the official website of the
Excise and Taxation Department, Government of Himac hal Pradesh, within
seven days of making an on-line application, failin g which the application so
made shall be rejected without any further notice.
(4) The dealer who files return(s) alongwith the re quisite enclosures
electronically, shall authenticate the same by affixing his digital signature:
Provided that where such return(s) is filed without affixing digital
signature, the said dealer shall be required to sub mit to the appropriate
authority, duly signed hard copy of such electronic ally filed return(s) duly
printed from the official website of the Excise and Taxation Department,
Government of Himachal Pradesh, within fifteen days of the last date for
filling of such return(s). If such dealer fails to do so, he shall be liable to pay
by way of penalty a sum not exceeding five thousand rupees.]
7. Taxing Authorities.- (1) For carrying out the purposes of this Act,
the Commissioner may be assisted by such other pers on or persons as the
State Government may appoint in this behalf.
(2) The Commissioner, and the person or persons app ointed under
sub-section (1) shall exercise such powers and perf orm such duties as may be
assigned to them under this Act.
1. Section 6-A inserted vide H.P. Act No. 4 of 201 3.
THE HIMACHAL PRADESH PASSENGERS AND GOODS TAXATION ACT, 1955 15
1[7-A. Assistance to taxing authorities.- All police officers shall be
bound to assist the Commissioner and all other pers ons appointed to assist
him under sub-section (1) of section 7 of this Act, when required, in
performance of their duties under this Act, and, fo r that purpose, shall have
the same powers which they have in the discharge of their ordinary police
duties.]
8. Registration of owner.- 2[(1) No owner shall ply his motor vehicle
in the State unless he is in possession of a valid registration certificate as
provided hereinafter.]
3[(2) Notwithstanding anything contained in sub-sect ion (1), on an
application, accompanied by a fee of rupees twenty, made by an owner of a
vehicle which is not registered in this State under the provisions of the
4[Motor Vehicles Act, 1988 (59 of 1988) and is plied on a temporary permit
granted under section 5[87] of that Act for a period not exceeding four months
and on advance payment of the tax and surcharge, pa yable under this Act, the
Assessing Authority may dispense with the requirement of a valid registration
certificate under this section.]
9. Grant of Registration certificate.- (1) A registration certificate
shall be granted in the prescribed manner to any ow ner 6[ who makes an
application either manually or electronically to th e prescribed authority.
7[XXXXXXXXXXXXXXXXXX] 8[XXXXXXXXXXXXXXX.]
(2) Every such registration certificate shall be va lid without renewal
till it is cancelled or suspended.
(3) No registration certificate shall be granted to any person who has
not registered his motor vehicle under the Motor Vehicles Act, 9[1988], and if
any such registration under that Act is suspended o r cancelled, any
registration certificate granted under this Act shall be deemed to be suspended
or cancelled, as the case may be.
1. Section 7-A inserted vide H.P. Act No. 10 of 19 88.
2. Existing section 8 re-numbered as sub-section ( 1) vide H.P. Act No. 10 of 1988.
3. Sub-section (2) added vide 10 of 1988.
4. Substituted for the words, sign, figure and brac ket “Motor Vehicles Act, 1939 (4
of 1939)” vide H.P. Act No. 8 of 1991.
5. Substituted for the figure “62” vide H.P. Act No . 8 of 1991.
6. Substituted for the words “applying therefor to the prescribed authority on
payment of a fee of ten rupees” vide H.P. Act No. 4 of 2013.
7. In section 9(1) the words “ in the district in w hich his motor vehicle is registered
under the Motor Vehicles Act, 1939” deleted vide H. P. Act No. 7 of 1966.
8. The word “ten rupees” substituted for the word “ one rupee” vide H.P. Act No. 10
of 1988, and the words “on payment of a fee of one hundred rupees” omitted vide
H.P. Act No. 51 of 2013.
9. Substituted for the figures “1939” vide H.P. Act No. 8 of 1991.
16 THE HIMACHAL PRADESH PASSENGERS AND GOODS TAXA TION ACT, 1955
1[ XXXXXXXXXXXXXXXXXXXXXXXXXXXXXX]
(5) If an owner, who has been granted a certificate of registration
under sub-section (1) transfers, discontinues or cl oses his business, he shall
2[either manually or electronically] inform the pres cribed authority within
thirty days of his doing so, and the said authority shall cancel the registration
certificate from the date of transfer, discontinuan ce or closing down of the
business.
(6) (i) On the death of an owner any person claimin g to be the legal
representative of the deceased shall 3[either manually or electronically]
inform the prescribed authority of this fact within a period of thirty days.
(ii) The prescribed authority shall thereupon trans fer the certificate in
the name of the applicant.
(7) When any owner transfers any motor vehicle, the transferee shall
be liable to pay 4[tax, surcharge] and penalty, if any, remaining unp aid by the
transferer up to the date of transfer as if he was the registered owner, and the
transferee shall not ply the said motor vehicle wit hout getting himself
registered or getting his registration certificate amended, if he is already
registered.
5[9-A. Owner to furnish security.- (1) Where it appears to the
Assessing Authority necessary so to do, for the proper realisation of the tax or
surcharge levied under this Act, it may, after givi ng an opportunity of being
heard require any owner to furnish security of an a mount not exceeding
twenty thousand rupees in the manner prescribed.
(2) Where the security furnished by an owner under sub-section (1) is
in the form of surety bond and the surety becomes i nsolvent or is otherwise
incapacitated or dies or withdraws, the owner shall , within fifteen days of the
occurrence of any of the aforesaid events, inform the Assessing Authority and
shall within thirty days of such occurrence furnish a fresh surety bond.
(3) The Assessing Authority may, by an order in writing for good and
sufficient cause and after giving the owner a reaso nable opportunity of being
heard, forfeit the whole or any part of the securit y furnished by the owner for
realising any amount of tax or penalty payable by him under this Act.
(4) Where by reason of an order under sub-section ( 3), the security
furnished by any owner is rendered insufficient, he shall make up the
deficiency in such manner and within such time as may be prescribed.
(5) The Assessing Authority may, on application by an owner, release
1. Sub-section (4) amended vide H.P Act No. 10 of 1 988 and omitted vide H.P. Act
No. 8 of 1991.
2. Inserted vide H.P. Act No. 4 of 2013.
3. Inserted vide H.P. Act No. 4 of 2013.
4. Substituted for the words “Tax” vide H.P. Act No . 1 of 1978
5. Sections 9-A, 9-B and 9-C added vide H.P. Act No . 8 of 1991.
THE HIMACHAL PRADESH PASSENGERS AND GOODS TAXATION ACT, 1955 17
the security furnished by him or any part thereof, if the same is no longer
required to be retained for the purposes of this Act.
9-B. Assessment of tax and surcharge.- (1) Where the Assessing
Authority is satisfied without requiring the presen ce of the owner or the
production by him of any evidence that the returns furnished in respect of any
period are correct and complete, it shall assess th e amount of tax or surcharge
on the basis of such returns.
(2) Where the Assessing Authority is not satisfied without requiring
presence of owner or production of evidence that th e returns furnished in
respect of any period are correct and complete, it shall serve on such owner a
notice in the prescribed manner requiring him on a date and place specified
therein either to attend in person or to produce or to cause to be produced any
evidence on which the owner may rely in support of such returns.
(3) On the date specified in the notice or as soon afterwards as may
be, the Assessing Authority shall, after hearing su ch evidence as the owner
may produce, and such other evidence as the Assessing Authority may require
on specified paints assess the amount of tax or surcharge due form the owner.
(4) If any owner, having furnished returns in respe ct of any period
fails to comply with the notice issued under sub-se ction (2), the Assessing
Authority shall within three years after the expiry of such period assess, to the
best of his judgment the amount of tax of surcharge due from the owner.
(5) If the Assessing Authority is satisfied that an y owner is liable to
pay tax or surcharge under this Act in respect of a ny period but who has
willfully failed to apply for registration or to pa y the tax or surcharge as the
case may be, the said authority may, after giving t he owner a reasonable
opportunity of being heard, assess the amount of ta x or surcharge, if any, due
from the owner and also direct that the owner shall pay in the prescribed
manner by way of penalty a sum not exceeding five times the amount of tax or
surcharge so assessed subject to a minimum of five hundred rupees.
9-C. Re-assessment of tax and surcharge.- (1) If in consequence of
an information which has come into his possession, the Assessing Authority
discovers that the tax or surcharge due from the ow ner has been under-
assessed or has escaped assessment in any year, the Assessing Authority may
at any time within five years following the close o f the year for which re-
assessment is to be made and after giving a reasona ble opportunity, in the
prescribed manner, of being heard proceed to re-ass ess the tax or surcharge
payable, which has been under-assessed or has escaped assessment.
(2) The Assessing Authority may, at any time, withi n one year from
the date of any order passed by him and subject to such conditions as may be
prescribeExcerpt shown. Open the full act in Lexace.