The BOMBAY MUNICIPAL TAXES AND URBAN IMMOVABLE PROPERTY TAX (VALIDATION IN CERTAIN AREAS OF THE EXTENDED SUBURBS OF GREATER BOMBAY) ACT, 1960

GOVERNMENT OF MAHARASHTRA
LAW AND JUDICIARY DEPARTMENT
MAHARASHTRA ACT No. VIII
OF 1961
[ THE BOMBAY MUNICIPAL TAXES AND  URBAN
IMMOVABLE PROPERTY TAX (VALIDATION IN
CERTAIN AREAS OF THE EXTENDED SUBURBS OF
GREATER BOMBAY) ACT, 1960.]
(As modified up to the 22nd March 2012)
[Price— Rs. 5/-]
PRINTED IN INDIA BY THE MANAGER, GOVERNMENT PHOTOZINCO PRESS,PUNE
AND PUBLISHED BY THE DIRECTOR, GOVERNMENT PRINTING AND
STATIONERY, MAHARASHTRA STATE, MUMBAI-400 004.
2012
[ THE BOMBAY MUNICIPAL TAXES AND URBAN
IMMOVABLE PROPERTY TAX (VALIDATION IN CERTAIN
AREAS OF THE EXTENDED SUBURBS OF GREATER
BOMBAY) ACT, 1960. ]
CONTENTS
PREAMBLE.
SECTIONS.
1. Short title.
2. Definitions.
3. Validation of certain municipal taxes.
4. Validation of Urban Immoveable Property tax in certain areas.
5. Sums due on account of such taxes to be paid to and recovered
by Corpoaration.
6. Saving.
FIRST SCHEDULE.
SECOND SCHEDULE.
1961 : Mah. VIII ] 6263
1961 : Mah. VIII] 6265   The Bombay Municipal Taxes and Urban Immoveable Property Tax
(Validation in Certain Areas of the Extended Suburbs of Greater Bombay)  Act, 1960.
MAHARASHTRA ACT No. VIII OF 1961. 1
[ THE BOMBAY MUNICIPAL TAXES AND URBAN IMMOVEABLE PROPERTY TAX
(VALIDATION IN CERTAIN AREAS OF THE EXTENDED SUBURBS OF GREATER BOMBAY)
ACT, 1960. ]
[8th February 1961.]
An Act to validate the levy by the former municipalities of Malad, Kandivali,
Borivali and Mulund of certain municipal taxes, and the collection thereof
(including the collection of the arrears of taxes which vested by virtue of section
191 of the Bombay District Municipal Act, 1901, in the municipalities on the
date of their establishment) by or on behalf of those municipalities, and by the
Municipal Corporation of Greater Bombay as successor to the aforesaid
municipalities; to provide for the recovery of the unpaid balance of those
taxes (including the aforesaid arrears)  by the Municipal Corporation of Greater
Bombay; to validate the levy and collection of the Urban Immoveable Property
tax in those areas during a certain period, and to provide for the recovery of the
unpaid balance of that tax by the Municipal Corporation of Greater Bombay,
and for purposes connected with the matters aforesaid.
WHEREAS, the notified area committees of Malad and Kandivali were, on
the 1st day of May 1951, constituted municipalities by those names, under the
Bombay District Municipal Act, 1901 (hereinafter in this Act referred to us
“ the District Municipal Act”) by Government Notification in the Health and
Local Government Department No. 4456/33, dated the 22nd November 1950
and by Government Notification in the Local Self-Government and Public
Health Department No. 8674, dated the 27th November 1950, respectively;
AND WHEREAS, the notified area committee of Borivali was, on the 1st day
of June 1951, constituted a municipality by that name, under the District
Municipal Act by Government Notification in the Local Self-Government and
Public Health Department No. 4456/33, dated the 29 th December 1950 and
whereas, the municipality was superseded during the period commencing on
the 14th day of May 1954 and ending on the 1st day of February 1957;
AND WHEREAS, the village panchayat of Mulund was, on the 15th day of
June 1952, constituted a municipality by that name, under the District
Municipal Act by Government Notification in the Local Self-Government and
Public Health Department No. 6470/33, dated the 27th February 1952;
AND WHEREAS, the aforesaid municipalities were included within the limits
of the Municipal Corporation of Greater Bombay on the 1 st day of February
1957 under the Bombay Municipal [Further Extension of Limits and Schedule
BBA (Amendment)] Act, 1956;
AND WHEREAS, the aforesaid municipalities levied or purported to levy,
and during certain periods collected, certain municipal taxes, and also collected
the arrears of the taxes levied by the notified area committees vested in them
when they were constituted municipalities;
Bom.
LVII
of 1956.
Bom.
III of
1901.
1 For Statement of Objects and Reasons, see Maharashtra Government Gazette , 1960, Part V,
pages 377-78.
6266                                                     [1961 : Mah.VIII   The Bombay Municipal Taxes and Urban Immoveable Property Tax
(Validation in Certain Areas of the Extended Suburbs of Greater Bombay)  Act, 1960.
AND WHEREAS, the Urban Immoveable Property tax (including arrears
thereof which vested in the municipalities at the date of their constitution) was
also collected by those municipalities ;
AND WHEREAS, the Municipal Corporation of Greater Bombay as successor
to the municipalities collected under paragraph 4 of Schedule FFA to the Bombay
Municipal Corporation Act the municipal taxes and the arrears aforesaid, and
also the Urban Immoveable Property tax ;
AND WHEREAS, doubts have arisen as to validity of the levy and collection
of the municipal taxes, the collection of the arrears of taxes vested in the
municipalities when they were constituted, as also the levy and collection of the
Urban Immoveable Property tax in those areas ;
AND WHEREAS, it is expedient to remove those doubts and to validate the
levy and collection of the municipal taxes, and of the collection of the arrears
aforesaid, as also of the Urban Immoveable Property tax in those areas, and to
provide for the continuance of the collection of the taxes aforesaid by the Municipal
Corporation, and to provide for purposes connected with the matters aforesaid;
It is hereby enacted in the Elevanth Year of the Republic of India as follows:—
1. This Act may be called the Bombay Municipal Taxes and Urban Immoveable
Property Tax (Validation in Certain Areas of the Extended Suburbs of Greater
Bombay) Act, 1960.
2. In this Act, unless the context requires otherwise,—
(a) “ municipality ” means the former municipality of Malad, Kandivali,
Borivali or Mulund ;
(b) “ municipal taxes ” means any of the taxes levied or purported to be
levied by the municipalities under section 59 of the Bombay District Municipal
Act, 1901;
(c) “ Schedule ” means a Schedule to this Act:
The words “ Urban Immoveable Property tax ”  have the same meaning as
in the Bombay Finance Act, 1932 and the words “ the Commissioner ”, and “ the
Corporation” have the same meaning as in the Bombay Municipal Corporation
Act.
3. Notwithstanding anything contained in the District Municipal Act, or in
any judgment, decree or order of a Court,
(a) the municipal taxes levied or purported to be levied by any of the munici-
palities, and collected or purported to be collected by or on behalf of them, in
respect of the periods specified against each of them in the First Schedule, and
the municipal taxes collected or purported to be collected under the Bombay
Municipal Corporation Act, by the Corporation as successor to the municipalities;
Bom.
III of
1888.
Short title.
Definitions.
Validation
of certain
municipal
taxes.
Bom.
II of
1932.
Bom.
III of
1888.
Bom.
II of
1888.
Bom.
III of
1901.
1961 : Mah. VIII] 6267   The Bombay Municipal Taxes and Urban Immoveable Property Tax
(Validation in Certain Areas of the Extended Suburbs of Greater Bombay)  Act, 1960.
(b) the arrears of taxes which vested in the municipalities by virtue of
section 191 of the District Municipal Act on the date of their establishment,
and which were collected or purported to be collected under that Act by or on
behalf of any of the municipalities, or collected or purported to be collected
under the Bombay Municipal Corporation Act, by the Corporation as successor
to those municipalities, shall for all purposes be deemed to be, and always to
have been, validly levied and collected ; and accordingly, anything done or omitted
to be done (including in particular the things done or omitted to be done as set
out in the Second Schedule) or action taken by or on behalf of the municipalities,
or by the Corporation, or any officer of any of them, acting or purporting to act
by or under any of the provisions of the District Municipal Act, or the Bombay
Municipal Corporation Act, in connection with the levy or collection of any of
the taxes, or as the case may be, the collection of any arrears of taxes vesting in
the municipalities on the date of their establishment, during any period aforesaid,
shall be deemed for all purposes to have been validly done, omitted to be done or
taken, and no suit or other legal proceedings (including proceedings in execution)
shall be entertained or continued in any Court on the ground only that the levy
or collection of any tax, or of the arrears aforesaid, was illegal by reason of
anything done or purported to be done, or the omission of anything required to
be done, by or under any of the laws aforesaid.
Explanation.—If any municipal tax or any arrears aforesaid, has been
refunded under any judgment, decree or order of a Court declaring the levy or
collection thereof illegal, by reason of anything done or purported to be done or
the omission of anything required to be done, by or under any of the laws aforesaid,
then notwithstanding any such judgment, decree or order or the refund in
pursuance thereof, the tax or the arrears aforesaid, as the case may be, shall
(subject to the provisions of section 5) be liable to be paid again to the Corporation.
 4. Notwithstanding anything contained in the Bombay Finance Act, 1932 or
in the District Municipal Act, or in any judgment, decree or order of a Court,
the  Urban Immoveable Property tax, levied or purported to be levied by the
State Government, and collected or purported to be collected by that Government,
or on its behalf by any of the municipalities, or by the Corporation as successor
to the  municipalities under the Bombay Municipal Corporation Act, or by any
officer if of any of them, in respect of the period commencing on the date of
constitution of the relevant municipality and ending on the 31st day of March
1957 (including any arrears which vested in the municipalities under section
191 of the District Municipal Act at the date of their constitution), shall for all
purposes be deemed to be and be deemed always to have been validly levied and
collected, and accordingly, anything done or omitted to be done or action taken,
by the State Government or by any of the municipalities aforesaid, or by the
Corporation, or by any officer of any of them acting or purporting to act by or
under the provisions of the Bombay Finance Act, 1932 or the District Municipal
Act or the Bombay Municipal Corporation Act, in connection with the levy or
collection of that tax, during the period aforesaid, shall be deemed for all purposes
to have been validly done, omitted to be done or taken; and no suit or other legal
proceedings (including proceedings in execution) shall be entertained or
Validation of
Urban
Immoveable
Property tax
in certain
areas.
Bom.
III of
1888.
Bom.
III of
1888.
Bom.
II of
1932.
Bom.
III of
1888.
Bom.
II of
1932.
Bom.
III of
1888.
6268                                                     [1961 : Mah.VIII   The Bombay Municipal Taxes and Urban Immoveable Property Tax
(Validation in Certain Areas of the Extended Suburbs of Greater Bombay)  Act, 1960.
continued in any Court on the ground only that the levy or collection of the tax
was illegal by reason of anything done or purported to be done, or the omission
of anything required to be done, by or under any of the laws aforesaid.
Explanation.—If any tax has been refunded under any judgment, decree or
order of a Court declaring the levy or collection thereof illegal by reason of
anything done or purported to be done, or the omission of anything required to be
done, by or under any of the laws aforesaid, then notwithstanding any such
judgment, decree or order, or the refund in pursuance thereof, the tax shall
(subject to the provisions of section 5) be liable to be paid again to the Corporation.
5. (1) Notwithstanding anything contained in the District Municipal Act or
the Bombay Finance Act, 1932 or the Bombay Municipal Corporation Act (including
any rules or orders made thereunder), or anything in the Indian Limitation Act,
1908 or in any judgment, decree or order of a Court, if any sum, by way of any
municipal tax aforesaid, or by way of the arrears of taxes which were vested in
the municipalities on their establishment, or by way of Urban Immoveable Property
tax, has not been paid to the relevant municipalities or to the Corporation (or
having been paid is refunded and) is outstanding on the commencement of this Act,
such sum shall be payable to the Corporation within thirty days of a demand being
made therefor, as hereinafter by this section provided.
(2) As soon as may be after the commencement of this Act, but before the
expiry of three years therefrom, the Commissioner shall cause to be served on
the person liable to pay any such tax, a bill for the sum due from him.
(3) The Commissioner may prepare and serve a consolidated bill for all the
taxes (including any arrears which vested in the municipalities on the date of
their establishment, and which are outstanding) due from the person liable, or
the Commissioner may prepare separate bills in respect of different taxes, or for
different periods or for different properties, in such form or forms as he may
determine. Every such bill shall, however, specify the period or periods (as far as
is practicable) for which the tax is due, the property or the service in respect of
which the tax is payable, the amount of tax assessed thereon or in respect thereof,
the amount (if any) already paid and the balance due and also the time within
which an appeal may be preferred as provided in the next succeeding sub-section.
(4) (a) An appeal shall lie,—
(i) in respect of any claim made under sub-section (1), within thirty days of
the service of the bill for the taxes, or
(ii) in respect of the recovery of any tax to which this Act refers, which has
been paid but in respect of the recovery of which no opportunity for appeal
under section 86 of the District Municipal Act or the Bombay Municipal
Corporation Act or the Bombay Finance Act, 1932 read with either of the
foregoing Acts, was given (by reason of the Magistrate or Bench of Magistrates
not being directed , by the District Magistrate or the Sessions Judge to try such
case or, as the case may be, by reason of there being no appallate authority, or
the appellate authority being irregularly appointed or designated), within ninety
days from the commencement of this Act, to the Chief Judge of the Court of
Small Causes of Bombay on any one or more of the following grounds, that is to
say,
Sums due on
account of
such taxes to
be paid to and
recovered by
Corporation.
Bom.
II of
1932.
Bom.
III of
1888.
IX of
1908.
Bom.
III of
1888.
Bom.
II of
1932.
1961 : Mah. VIII] 6269   The Bombay Municipal Taxes and Urban Immoveable Property Tax
(Validation in Certain Areas of the Extended Suburbs of Greater Bombay)  Act, 1960.
(i) that the appellant is not the person liable for the payment of the tax in
respect of the property or service in question ;
(ii) that the property is exempt from tax;
(iii) that the annual letting value, or the amount of the tax, is not proper:
Provided that, no appeal shall be entertained unless the amount claimed
from the appellant has been deposited by him with the Commissioner:
Provided further that, where any appeal has been filed or purported to be
filed, under section 86 of the District Municipal Act, in respect of the annual
letting value of any premises and a decision has been given thereon before the
commencement of this Act, no appeal under the provisions of this sub-section
shall lie against such decision, and any refunds or adjustments made by the
municipality or the Corporation in pursuance thereof, shall be deemed to have
been validly made.
(b) An appeal shall lie to the High Court,—
(i) from any decision of the Chief Judge of the Court of Small Causes of
Bombay in appeal under clause (a), if the amount of the claim made under sub-
section (1) exceeds three thousand rupees; and
(ii) from any other decision of the Chief Judge in appeal under that clause,
upon a question of law or usage having the force of law or the construction of a
document.
The provisions of the Code of Civil Procedure, 1908, with respect to appeals
from original decrees shall, so far as they can be made applicable, apply to
appeals under this clause, and orders passed therein by the High Court may on
application to the Chief Judge be executed by him as if they were decrees
made by himself:
Provided that, no such appeal shall be heard by the High Court unless it is
filed within thirty days from the date of the decision of the Chief Judge.
(5) Subject to sub-section (4), if any person fails to pay any sum due from him
in accordance with the bill served on him, within thirty days from the date of
such service, the same shall be recoverable from him by the Commissioner
under the provisions of the Bombay Municipal Corporation Act as if it were a
property tax due under that Act and the person had failed to pay the sum due
therefore, in accordance with a bill served under section 200 of that Act.
(6) Save as otherwise expressly provided in this section, the provisions of the
Bombay Municipal Corporation Act or the Bombay Finance Act, 1932 and the
rules and orders made thereunder, shall mutatis mutandis apply to the service
of any bills, and the recovery of any sum claimed and any appeal made under
this section.
6. Nothing in this Act shall render any person liable to be convicted of any
offence in respect of any act done by him, or in respect of anything omitted to be
done by him, before the date of the coming into force of this Act, if such act or
omission was not an offence under the District Municipal Act or the Bombay
Municipal Corporation Act or the Bombay Finance Act, 1932, but for the
provisions of this Act.
V of
1908.
Bom.
III of
1888.
Bom.
III of
1888.
Bom.
II of
1932.
Bom.
III of
1888.
Saving.
Bom.
II of
1932.
6270                                                     [1961 : Mah.VIII   The Bombay Municipal Taxes and Urban Immoveable Property Tax
(Validation in Certain Areas of the Extended Suburbs of Greater Bombay)  Act, 1960.
FIRST SCHEDULE
(See section 3.)
Municipality. Tax levied and recovered or Year or period in respect
collected or to be recovered or of which such levy and
collected.   recovery or collectionwas
made or is to be made.
(1)  (2) (3)
(1) The Municipality (a) House tax (Rate on buildings 1951-52.
of Kandivali. lands or both) at 6¼ per cent.
on the annual letting  value.
(b) Halalkhor    Cess    ( Special Do.
Sanitary Cess) at  Rs. 24 per
annum per privy.
(a) Consolidated tax at 25 per cent. From 1st October
on 50 per cent. of the  annual 1952 to 31st March
letting  value,  subject  to  a 1953 (both inclusive).
minimum  of  eight  annas.
(b) Special Sanitary Cess at Rs. 4 Do.
 per month per privy seat.
(a) Consolidated tax  at  12½ per 1953-1954, 1954-1955
cent.  on  the  annual letting 1955-56, 1956-1957
value.
(b) Special  Sanitary  Cess  at Do. Do.
Rs. 24 per annum per privy
seat.
(2) The Municipality (a) House tax (Rate on buildings 1951-52.
of Malad. or landsor both) at 6¼per cent.
on the annual letting value.
(b) Special Sanitary  Cess at Do.
Rs.24 per annum per privy seat.
(a) House tax (Rate on buildings From the 1st July 1952
or  lands  or both)  at  6¼  per to 31st March 1953
cent.  on  the  annual  letting (both inclusive).
value.
(b) Special   Sanitary   Cess   at Do. Do.
Rs. 2  per  month  per  privy
seat.
(c) General Sanitary Cess at 3-1/8 Do. Do.
per cent. on the annual letting
value.
(a) House tax (Rate on buildings From 1st April 1953
or  lands  or both)  at 6¼ per to 30th June 1953
cent. on  the  annual  letting (both inclusive).
value.
1961 : Mah. VIII] 6271   The Bombay Municipal Taxes and Urban Immoveable Property Tax
(Validation in Certain Areas of the Extended Suburbs of Greater Bombay)  Act, 1960.
FIRST SCHEDULE–– contd.
Municipality. Tax levied and recovered or Year or period in respect
collected or to be recovered or of which such levy and
collected.   recovery or collectionwas
made or is to be made.
(1)  (2) (3)
(2) The Municipality (b) Special   Sanitary   Cess   at Do. do.
of Malad.-contd. Rs. 2  per  month  per  privy
seat.
(c) General Sanitary Cess–31/8 Do. do.
per cent. on the annual
setting value.
(a) House tax (Rate on buildings 1954-55.
or  lands  or both)  at 11 per
cent. on  the  annual  letting
value.
(b) Special   Sanitary   Cess   at Do.
Rs. 2  per  month  per  privy
seat.
(c) General Sanitary Cess– Do.
Occupier's Tax at annas eight
per month per occupier.
(a) House tax (Rate on buildings From 1st October 1955
or lands or both) at 22 per cent. to 31st March 1956
on the annual letting value. (both inclusive).
(b) Special Sanitary  Cess at 1955-56.
Rs. 2 per privy per month.
(c) General Sanitary Cess– Do.
Occupier's Tax at annas eight
per month per occupier.
(a) House tax (Rate on buildings 1956-57.
or lands  or both) at 12½  per
cent.  on  the  annual  letting
value.
(b) Special   Sanitary   Cess   at From 1st April 1956
Rs.  2  per month per  privy. to 30th June 1956
(both inclusive).
(c) Spe cial   Sanitary   Cess   at From 1st July 1956
Rs. 4  per month per latrine. to 31st March 1957
(both inclusive).
(3) The Municipality (a) House tax (Rate on buildings 1951-52.
of Borivali. or lands or both) at 6¼per cent.
on the annual letting value.
(b) Halalkhor    Cess    ( Special Do.
Sanitary Cess) at  Rs. 24 per
annum per privy.
6272                                                     [1961 : Mah.VIII   The Bombay Municipal Taxes and Urban Immoveable Property Tax
(Validation in Certain Areas of the Extended Suburbs of Greater Bombay)  Act, 1960.
FIRST SCHEDULE–– contd.
Municipality. Tax levied and recovered or Year or period in respect
collected or to be recovered or of which such levy and
collected   recovery or collectionwas
made or is to be made
(1)  (2) (3)
(3) The Municipality (a) House tax (Rate on buildings From the 1st October
of Borivali.-- or  lands  or both)  at  20  per 1952 to 31st March 1953
contd. cent.  on  50  per  cent. of  the (both inclusive).
annual  letting value.
(b) Halalkhor    Cess    ( Special Do. do.
Sanitary Cess) at  Rs. 24 per
privy seat.
(a) House tax (Rate on buildings 1953-54 and 1954-55.
or lands  or both) at 11  per
cent.  on  the  annual  letting
value.
(b) Halalkhor    Cess    ( Special Do. do.
Sanitary Cess) at  Rs. 2 per
month per privy seat.
(a) House tax (Rate on buildings 1955-56 and 1956-57.
or lands  or both) at 15  per
cent.  on  the  annual  letting
value.
(b) Halalkhor    Cess    ( Special Do. do.
Sanitary Cess) at  Rs. 2 per
month per privy seat.
(4) The Municipality (a) House tax (Rate on buildings From the 1st April 1953 to
of Mulund. or  lands  or  both)  at  9  per 30th September 1953
cent.  on  the  annual  letting (both inclusive).
value.
(b) Consolidated tax at 15 per cent. From the 1st October
on the  annual letting  value. 1953 to 31st March
1954 (both inclusive).
(c) Special Sanitary Cess at Rs.9 1953-54.
per annum per tenement
(d) General Sanitary Cessat Rs.2 From the 1st April 1953 to
per annum per structure. 30th September 1953
(both inclusive).
(a) Consolidated tax at 15 per cent. 1954-55 and 1955-56.
on the  annual letting  value.
(b) Special Sanitary Cess at Rs. 9 1954-55 and 1955-56.
per annum per tenement.
(a) Consolidated tax at 171/2 percent1956.
on the  annual letting  value.
(b) Special Sanitary Cess at  5 1956-57
per cent on the gross annual
letting value.
1961 : Mah. VIII] 6273   The Bombay Municipal Taxes and Urban Immoveable Property Tax
(Validation in Certain Areas of the Extended Suburbs of Greater Bombay)  Act, 1960.
SECOND SCHEDULE
(See section 3)
(Note.—In this Schedule, the sections referred to are of the District
Municipal Act)
(1) A resolution was not passed at a general meeting before imposing the tax
as required by section 60.
(2) The sanctioned rules were not properly published by the municipality
with notice or further detailed rules were not published as required by
section 62.
(3) The assessment list was not prepared or was prepared before the tax was
imposed or did not show the amount of the tax assessed as required by
section 63 or was prepared by persons not properly authorised.
(4) Public notice of assessment list was not given as required by section 64 or
was given by a person not authorised.
(5) No public notice was given of the revised assessment list or individual
notices were not given under section 65 when properties were for the first time
assessed or the assessments were increased or amount of tax not shown in
individual notice.
(6) The assessment list was authenticated by persons to whom the powers
and functions of the managing committee were not delegated under sub-section
(4) of section 65.
(7) The assessment list was not amended when necessary in accordance with
the provisions of section 66.
(8) Bills for taxes giving the necessary details were not presented as required
by section 82.
(9) No appellate authority was appointed under section 86 or the appointment
was improper.
(10) Steps to recover arrears of taxes vested in the District Municipality were
not taken within a period of three years.
(11) Rule regarding publication of notices as sanctioned by the Director of
Local Authorities was not adopted by the General Board.
––––––––––––
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OVERNMENT PRINTING, STATIONIRY AND PUBLICATIONS
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