(a) Land Revenue Administration - Department of Revenue ...

REVENUE ADMINISTRATION 263Special Cesses.- Besides the land revenue, the following cessesare also levied on the land owners in the District.Village Officer's CessFormerly, the village officer's cess used to include patwar cessalso. In the earlier period of settlements, a normal rate for the patwarcess was considered to be 6 pies (2 paise) per rupee of the landrevenue which is equivalent to a surcharge of 3½ per cent, an additionalquarter of half per cent being taken on account of Patwari‟s stationery.But, later on to meet the expenditure which the new standards ofrevenue work demanded and the rate was increased to about 6¼ percent. The patwar cess was entirely remitted in 1906 when the State tookover the charge of Patwaris and only a pachotra, as the name impliesamounting to 5 per cent of the land revenue, was charged as thecommission for the lambardar whereas, the cost of the Zaildari andSufedposhi agencies was met by setting aside 1 per cent of the landrevenue.With the abolition of Zaildari and Sufedposhi agencies in 1948,only pachotra at the rate of 5 per cent of land revenue was charged asthe village officers' cess. Now the Punjab Government `has abolishedthe land revenue, therefore, pachotra charged on land revenue has alsobeen automatically abolished.Local RateLocal rate has grown from small beginnings. It was usual inearly settlements to levy a road cess at 1 per cent of the land revenue.Subsequently, education and postal cesses amounting to 1 per cent and1½ per cent respectively were added. But under the Punjab Local RatesAct (XX) of 1871, a local rate amounting to 6½ per cent of the landrevenue was imposed. The local rate was revised by the Punjab LocalRates Act (V) of 1878 from 6¼ per cent to 8½ per cent for providing thefemine-stricken people with relief. With the passing of the PunjabDistrict Boards Act (XX) of 1883, the road, education and postal cesseswere merged into the local rate, and the legal limit of the rate was raisedto 12½ per cent of the land revenue and the owner's rate, and under thisAct, the whole of the local rate was credited to the District Board. It wasfurther raised to 25 per cent from kharif in 1947 and to 50 per cent fromkharif in 1948. Before the abolition of local rate in 1997 it was leviedunder the Punjab Panchayati Raj Act, 1994* The Punjab Government* Prior to this act it was levied under Section 61 of the Punjab Panchayat Samitiesand Zila Parishad Act, 1961 at the rate of 50 per cent of the land revenue

264 MOGAhave abolished the land revenue during the year 1996-97 so the localrate has automatically been abolished from the same year. The collectionfrom local rate in the Moga District during 1996-97 was Rs 86,946.AbianaThe abiana or water rate is charged on the area irrigated bycanals. These charges vary from canal to canal and from crop to crop.Abiana or water rate was abolished by the Punjab Government with effectfrom 14 February 1997 6 , but it was revived again from November 2002.The abiana has been charged at the rate of Rs 10 per Kanal (one eight ofan acre) 6 .The collection from abiana in the Moga District during 1996-97 was Rs 2,00,023. 7Cess on Commercial Crops.-Cess on commercial crops waslevied under the Punjab Commercial Crops Act, 1974 with effect fromthe kharif crop of the agricultural year 1974-75. It was levied oncommercial crops like chillies, cotton (desi and American) rape-seeds,mustard (sarson, taramira and toria), potatoes, sugarcane, tomatoes,orchards, vineyards, etc. at the rate of Rs 6 per acre in case of irrigatedland and Rs 3 per acre in case of un-irrigated land. It was applicableand payable by the landowners growing these crops on their landsirrespective of the fact whether they were assignees of land revenue ornot. To give relief to the farmers and to encourage the cultivation ofcommercial crops and orchards, the Punjab Government has repealed thePunjab Commercial Crops Act, 1974 by enacting the PunjabCommercial Crops (Repeal) Act,1994.(b) Land ReformsLand reforms have been on the National Agenda of Rural Reconstructionsince Independence. The major objectives of land reformshave been the reordering of agrarian relations in order to achieve anegalitarian social structure, elimination of exploitation in land relations,realising the age old goal of land to the tiller, enlarging the land base ofthe rural poor, increasing agricultural productivity and infusing anelement of equality in local institutions.The State Government has made the following enactments inpursuance of the agrarian reforms:-6 Vide Notification No.14/12/99/1 PW(2)5209 dated 19 March 19977 Vide Punjab Government Department of Irrigation (Works Branch) NotificationNo 14/22/94-1W (2)/ 25384 dated 12 November 2002

REVENUE ADMINISTRATION 2651 The East Punjab Utilization of Lands Act, 19492 The Punjab Occupancy Tenants (Vesting of ProprietaryRights) Act, 19523 The Punjab Abolition of Ala Malkiyat and Talukdari RightsAct, 19524 The Punjab Security of Land Tenures Act, 19535 The Punjab Bhoodan Yagna Act, 19556 The Punjab Resumption of Jagirs Act,19577 The Village Common Lands (Regulation) Act, 19618 The Punjab Land Reforms Act, 19729 The Punjab Land Reform Rules, 1973Under the East Punjab Utilisation of Lands Act, 1949, theGovernment enforced the optimum utilization of cultivable land. TheCollector can take into possession and lease out any land which iscultivable but has not been cultivated for last six or more consecutiveharvests.The leasing term ranges from seven years to twenty years hasbeen fixed. Under the Punjab Abolition of Ala Malkiyat and TalukdariRights, Act, 1952 the rights of an ala malik in the land held before adnamalik were abolished and the adna malik was required to paycompensation for proprietary rights. The Punjab Occupancy Tenants(Vesting of Proprietary Rights) Act, 1952, declares all occupancytenants as owner of the land. It was considered necessary to impose aceiling on land holdings in order to compel the landowners to cultivatethe land themselves, to make improvements on agricultural land and alsoadopt scientific agricultural techniques and modern methods ofcultivation with a view to getting more agricultural produce fromsmaller holdings. Another objective of imposing a ceiling on landholdings had been to undertake measures for providing social andeconomic justice to the people by providing some land to the tillers sothat they may have necessary incentive to work hard and to produce themaximum out of the soil. So the Punjab Security of Land Tenures Act,1953 was passed and the ceiling fixed for the land holdings was 30standard acres for land owners and 50 standard acres for displacedpersons.The previous land ceiling laws did not achieve the objective ofreducing inequalities of income and wealth sufficiently, mainly becauseof exemption provided to various categories of land owners. Therefore,it was considered necessary that these provisions should be given asecond look. In 1972, on the recommendations of Central Land ReformCommittee, the Punjab Land Reforms Act, 1972, was passed. This Act

266 MOGArepeals the provisions of the two earlier Acts in so far as they relate tothe ceiling on land holdings and utilization of surplus area. The new Actprovided for the assessment of permissible area in relation to the familyinstead of an individual and reduced the permissible area limit to 7.25hectares under assured irrigation capable of growing atleast two crops ina year and more area of land capable of growing one crop and banjarland. In order to carry out the objectives of the Act, the Punjab LandReforms Rules, 1973 were framed. The Punjab Utilization of SurplusArea Scheme, 1973 was also framed under the provisions of Act forutilizing the surplus areas. Surplus land available under the old Punjablaws for allotment was distributed to landless agriculturalworkers, members of Scheduled Castes and Backward Classes andtenants who own no land or an area less than two hectares of the firstquality land. Under the Punjab Resumption of Jagirs Act, 1957 alljagirs, maufis and jagir pensions excepting military jagirs or grantsmade to religious or charitable institutions granted on or before 4August 1914 were resumed.The distribution of land among various classes ofcultivators/landholders in the Moga District during 1995-96 to 2002-2003 is given in the following table:-

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268 MOGASecurity of Land Tenures.- One of the most important planksof land reforms is the tenancy reform. This includes 3 F‟s fair rent,fixity of tenure and free transfer of land. The insecurity of tenancy hasnot only impeded the widespread adoption of high-yielding variety seedsbut, in some cases, even led to social and agrarian tensions. The PunjabSecurity of Land Tenures Act, 1953 came into force on 15 April 1953.The objectives of the Act are: to provide a ceiling on individual landholdings; to give certain security of tenure to tenants; to provide forresettlement of tenants lawfully evicted out and to give a right to certaintenants to purchase land of their tenancy.As on 31 March 2003 only 2,524 cases of surplus area weredecided and 8,547 hectares area of land was declared surplus in theMoga District.Utilization of Land.- Land is a primary factor, without which noproduction is possible. But land in a country is of various categories andcan be used in different ways. To utilize every inch of availablecultivable land for growing more food and other essential crops, theGovernment enforced the East Punjab Utilization of Lands Act, 1949.Under this Act, a notice is served on every landowner who allows hisland to remain uncultivated or six or more consecutive harvests and theland, thus taken over is leased out to others for a term ranging from 7 to20 years, priority being given to Harijans. No land has been taken overand leased out to the tenants in the Moga District up to 31 March 2003.Consolidation of Holdings.- Fragmented and scattered holdingsis a wasteful method of land utilization and many improved agriculturalpractices can not be adopted. The process of bringing together small andfragmented pieces of land into compact block for better and intensivecultivation is known as consolidation of holdings. It saves the tiller to agreat extent from wasteful supervision, irrigation of scattered holdingsand enables him to avail the facility of modern agricultural techniques inconsolidated holdings. Consolidation of holdings was started in thePunjab during British period in 1920 through cooperative consolidationsocieties. The consolidation was done on voluntary basis throughpersuasions and propaganda. As there was no legal compulsion in thematter, the progress was slow. The Punjab Government, therefore,passed the Consolidation of Holdings Act, 1936, which madeconsolidation compulsory if two-third of landowners agreed to it. Afterthe Independence, the urgency of consolidation was realized and theEast Punjab Holdings (Consolidation and Prevention of Fragmentation)

REVENUE ADMINISTRATION 269Act, 1948, was passed which made consolidation of holdingscompulsory.The work of consolidation of holdings in the area of the presentMoga District was started in 1950. Apart from consolidating theholdings of the farmers, the scheme provided an opportunity forreplanning the countryside, which included planning the location ofschools, hospitals and roads. Land was also reserved for communitybuildings, such as community centres, places of worship andplaygrounds. As on 31 March 2003 land measuring 2,23,410 hectareswas consolidated in the Moga District.Rural Wages and Condition of Agricultural Labour.- Thedaily wages paid to agricultural and skilled workers (men) in the MogaDistrict, during 1997 to 2002 are given in the following table:-

270 MOGA

REVENUE ADMINISTRATION 271(c) Other Sources of Revenue, State and Central(i) Other Sources of State RevenueAfter the abolition of land revenue other sources of StateRevenue include Stamp Duty, Registration Fee, General Sales Tax,Central Sales Tax, Special Road Tax, Entertainment Tax and ExciseTax, Copying Fee and Electricity Duty.Stamp Duty.- This duty is collected under the Indian StampDuty Act, 1899. It was amended by the Indian Stamp (PunjabAmendment) Act, 1929. Afterward an amendment in the Act was madevide Punjab Amendment Act No. 18 of 1974. The amendment to the Actwas also made vide Indian Stamp (Punjab Amendment) Act, 1995*, bywhich the rates of stamp duty were changed. Stamp revenue is derivedfrom non-judicial stamps. The Act requires the Collector (DeputyCommissioner) to ensure that the applications for all suits and otherrelevant documents are properly stamped according to the Schedule.The total income realized from stamp duty in the Moga tahsilduring 1995-96 to 2002-2003 is given below:(Rs)YearNon-Judicial Miscellaneous TotalStampsStamps1995-1996 2,04,79,040 7,81,000 2,12,60,0401996-1997 3,01,70,055 8,27,800 3,09,97,8551997-1998 4,28,60,465 15,28,300 4,43,88,7651998-1999 5,77,38,745 18,87,300 5,96,26,0451999-2000 6,72,23,850 34,52,420 7,06,76,2702000-2001 6,75,87,000 33,76,400 7,09,63,4002001-2002 7,94,04,380 46,20,200 8,40,24,5802002-2003 9,54,73,000 6,28,012 96,101,012(Source: District Treasury Officer, Moga)Registration Fee.-The Deputy Commissioner is the Registrar inthe district and Tahsildars and Naib Tahsildars are Sub Registrars andJoint Sub Registrars respectively. The registration fee is being collectedin the State under the Indian Registration Act, 1908. The Act requiresthe registration of all documents pertaining to immovable property.Other documents can also be got registered*The latest amendment to this Act was made vide the Indian Stamp(PunjabAmendment) Act, 2005(Punjab Act No. 11 of 2005) dated 16 May 2005

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274 MOGAGeneral Sales Tax.-Sales Tax occupies a distinct position as asource of revenue in the flexible tax structure of a State. It can beadjusted to the revenue needs of the State. It is levied under the PunjabGeneral Sales Tax Act, 1948 which repealed the Punjab General SalesTax Act, 1941. It is levied on the sale or purchase of moveable goods.Some of commodities which are generally consumed by relatively poorsection of people have been exempted from taxation whereas luxurygoods which are consumed by the well to do people are taxed at higherrates.Central Sales Tax.- This tax is levied under the Central SalesTax Act, 1956, which provides for the levy of tax on sales, effected inthe course of inter State trade and commerce. This central fiscalenactment has given the States a major source of revenue. The Stateshave been authorised to administer this tax on behalf of Government ofIndia and the entire collections are appropriated by the States.Excise Tax.- For the administration of the Excise and TaxationActs the district of Moga is under the charge of the Assistant Excise andTaxation Commissioner, Moga. The important State and Central ExciseActs in force in the State of Punjab are: The Punjab Excise Act, 1914;The Punjab Local Option Act, 1923, The Dangerous Drugs Act, 1930,The Punjab Molasses Act, 1948; The Indian Power Alcohol Act, 1948;The Medicinal and Toilet Preparation Act (Excise Duties) Act, 1955;The Spiritous Medicinal and Toilet Preparations (Excise Duties) Act,1955 and the Spirituous Preparation (Excise Duties) Act, 1955.Electricity Duty.- It is levied under the Punjab Electricity DutyAct, 1958 to meet the additional financial burden undertaken by theState on account of free education and provincialization of local bodyschools. The duty is levied on the energy supplied by the Punjab StateElectricity Board to a consumer or a licensee and it is collected by theBoard alongwith the electricity bills.Special Road Tax 8 .- It was earlier known as Passenger andGoods Tax Act and was levied under Punjab Passenger and GoodsTaxation Act 1952 9 . It is now levied under Section 3 (F) of the Punjab8 Its nomenclature has been changed, vide Punjab Government Notification No-23-Leg/93, dated 28 May 19939 Act repealed vide Punjab Government Notification No. 24/Leg/93 dated 1June 1993

(ii)REVENUE ADMINISTRATION 279Central Sources of RevenueCentral Excise Duties.- For the purposes of Central ExciseDuties the Moga District falls under the jurisdiction of AssistantCollector, Central Excise, Sangrur and Central Excise Commissioner,Ludhiana. The main sources of Central Excise Duty in the District are:Nescafe, Nestle, Sweetened Condensed Milk, Noodles, Cement, GlazedTiles, Pharmaceutical Products and Steel Papers, etc.Income Tax.- It is levied under the Income Tax Act, 1961,which replaced the Indian Income Tax Act, 1922, on 1 April 1962. TheIncome Tax is levied on a slab of income as approved by the law. Therate of income tax varies from year to year in accordance with theFinance Act passed by the Parliament every year.During the year 2002-2003, Rs 23,41,000 were collected asrevenue from income tax in the Moga District.Wealth Tax.- This tax is levied under the Wealth Tax Act, 1957which came into force from 1 April 1957. It is chargeable on the netwealth of an individual and Hindu Undivided Family (HUF).Gift Tax.- It is levied under the Gift Tax Act, 1958, on all giftsmade after the date of enforcement of the Act, i.e. 1 April 1958, if thetotal value of the gift (moveable or immoveable) exceeds the limitspecified by the Finance Act passed by the Parliament in a particularyear.

266 MOGACollection from other Sources of State Revenue in the Moga District, during the years 1995-96 to 2002-2003Sr. Name of Tax 1995-96 1996-97 1997-98 1998-99 1999-2000 2000-2001 2001-2002 2002-2003No1 Punjab General - 14,15,16,775 16,20,13,499 22,59,21,731 28,25,54,364 32,80,00,908 30,14,31,432 30,55,12,656Sales Tax2 Central Sales - 96,14,098 1,24,74,590 80,02,014 67,86,279 97,88,903 96,11,167 91,94,628Tax3 Entertainment - 19,74,105 20,16,193 20,16,753 23,06,824 23,51,741 17,51,330 17,49,346Duty4 Excise Tax - 30,84,73,002 31,01,77,840 36,48,77,192 3,52,19,423 48,20,12,572 46,34,42,949 49,87,98,4945 Electricity Duty 1,68,76,472 1,79,18,514 1,81,18,760 1,96,96,114 2,10,57,755 2,46,86,116 2,57,67,162 3,38,77,9226 Special Road - 4,20,000 5,45,18,000 6,95,93,000 7,87,29,000 7,99,00,000 6,83,34,000 6,60,03,000Tax7 Copying Fee 56,440 41,618 1,05,810 2,81,021 4,66,301 5,99,068 6,90,323 5,90,386(Source: Assistant Excise and Taxation Commissioner, Moga, Chief Electrical Inspector, Patiala and District Transport Officer, Moga)

Year(endingon 30June)REVENUE ADMINISTRATION 267Daily Wages Paid to Agricultural and Skilled Labourers (men) in the Moga DistrictForPloughingAgricultural LabourForWeedingForSowingForHarvestingForPicking ofCotton*For otherAgriculturalOperations(In Rupees)Skilled LabourBlacksmith Carpenter1997 65.00 70.00 70.00 105.00 - 83.33 141.25 -1998 - - 80.00 - - 82.22 148.38 149.701999 80.00 82.50 89.58 90.00 52.00 88.89 140.00 167.002000 85.00 92.50 88.75 111.25 55.00 90.00 165.00 169.002001 80.00 81.67 91.67 135.00 58.33 92.08 - 168.422002 - 90.00 92.00 145.00 - 92.48 - 167.92* For Female Worker Only (Statistical Abstracts of Punjab 1997 to 2003)

268 MOGANumber and description of registered documents and value of property transferred in Moga District duringthe years 1995-96 to 2002-2003YearNo. ofRegistrationOfficesNo. of Registration of PropertyImmovable PropertyCompulsory Optional Total MoveablePropertyGrandTotalAggregate Value of Property Transferred(000 Rs)ImmovablePropertyMoveablePropertyTotalTotal Receipts(000 Rs)1 2 3 4 5 6 7 8 9 10 111995- 3 11,566 - 11,566 1, 212 14,088 7,38,434 - 7,38,434 4,52819961996- 3 11,149 - 11,149 1,038 13,520 8,34,296 - 8,34,296 13,50019971997- 4 10,879 - 10,879 1,201 13,591 9,59,385 - 9,59,385 4,04719981998- 4 13,311 - 13,311 1,403 15,934 12,26,586 - 12,26,586 5,73719991999- 5 16,133 21 16,154 1,398 19,84,710 17,39,340 - 17,39,340 10,07320002001- 6 18,300 13 18,313 1,546 21,645 19,84,710 - 19,84,710 17,78520022002-20036 19,144 84 19,228 1,346 22,169 23,40,541 - 2,40,541 23,330(Statistical Abstracts of Punjab 1995 to 2005)