Primary law, Tamil Nadu land law
The Tamil Nadu Urban Land Tax Act, 1966 (1966)
The Tamil Nadu Urban Land Tax Act, 1966, Tamil Nadu Act No. 12 of 1966, was enacted by the Legislature of the State of Tamil Nadu to levy tax on urban land. It received the President’s assent on 9 September 1966 and was first published in the Fort St. George Gazette Extraordinary on 10 September 196...
What the Act governs
The Tamil Nadu Urban Land Tax Act, 1966 governs the assessment, levy and recovery of tax on urban land. Urban land means land used or capable of being used as a building site, including gardens or grounds attached to a building. Land registered as wet in government revenue accounts and used to cultivate wet crops is excluded.
The Act applied in the City of Madras from specified retrospective commencement dates. The Government may extend it by notification to another municipal town, township, or a notified area within sixteen kilometres of the City of Madras or such town or township. A draft extension or cancellation notification requires approval by the Legislative Assembly before publication.
Who may be affected
The Tamil Nadu Urban Land Tax Act, 1966 may affect:
- Owners receiving or entitled to receive rent or profits from urban land or buildings, including certain agents, trustees, guardians, managers, receivers and mortgagees in possession.
- Assessees from whom urban land tax is payable or whose tax liability is being determined.
- Occupiers paying rent, liable to pay rent, occupying rent free, or paying damages for occupation.
- Buyers and sellers, because both transferors and transferees must give notice of a transfer.
The Act treats a site on which a building has been constructed as urban land.
Assessment and recovery provisions
The Tamil Nadu Urban Land Tax Act, 1966 provides for:
- Appointment of urban land tax authorities and constitution of Tribunals.
- Returns from owners and collection of information.
- Determination of market value by the Assistant Commissioner.
- Assessment where no return is filed.
- Notices of demand, including separate notices for each fasli year.
- Assessment of urban land tax that escaped assessment.
- Appeals to the Tribunal, revision, correction of apparent errors and refunds.
- Recovery from an occupier in certain cases.
Urban land tax is a first charge on the urban land. This is particularly relevant to a purchaser because unpaid tax may remain connected with the property.
Exemptions and other provisions
The Tamil Nadu Urban Land Tax Act, 1966 allows the Government to exempt or reduce urban land tax and contains other exemptions. It also requires a return when an exemption ceases. The Act addresses conversion of agricultural land into urban land, survey of urban land, preparation of assessment books, entry onto land, penalties, service of notices and classification of land used for both residential and non-residential purposes.
This summary is generated from the source document to help you find what is relevant. The PDF above is authoritative. For advice on your own property, use LandLens One or speak to a qualified professional.
Common questions
Does the Tamil Nadu Urban Land Tax Act, 1966 apply throughout Tamil Nadu automatically?
No. It commenced in the City of Madras under specified provisions and may be extended by government notification to other municipal towns, townships or specified nearby areas. Such extension notifications require prior approval by the Legislative Assembly.
Can unpaid urban land tax affect a buyer?
Yes. Urban land tax is a first charge on the urban land, and both the transferor and transferee have an obligation to give notice of the transfer.
Is wet agricultural land treated as urban land?
Land registered as wet in government revenue accounts and used for cultivating wet crops is excluded from the definition of urban land.
Can an owner challenge an urban land tax assessment?
The Tamil Nadu Urban Land Tax Act, 1966 provides for an appeal to the Tribunal against orders of the Assistant Commissioner. It also contains provisions for revision, correction of apparent errors and refunds.
