Himachal pradesh act 008 of 1992 : Himachal Pradesh Tax on Luxuries (in Hotels and Lodging Houses) (Amendment) Act, 1992

Section 1. Short title and commencement

1. Short title and commencement.- (1) This Act may be called the Himachal Pradesh Tax on Luxuries (in Hotels and Lodging Houses) (Amendment) Act, 1992.

(2) It shall come into force on such date as the State Government may, by notification in the Official Gazette, appoint.

Section 2. Amendment of section 2

2. Amendment of section 2.- In section 2 of the Himachal Pradesh Tax on Luxuries (in Hotels and Lodging Houses) Act, 1979 (15 of 1979) (hereinafter called the principal Act),-

(a) in clause (c), for the words "any Government", the words "the prescribed" shall be substituted;

(b) for clauses (d) and (e), the following clauses shall be substituted, namely:-

"(d) "hotel" means a building or a part of the building where residential accommodation by way of business is provided for a monetary consideration and includes a lodging house but shall exclude a dharamshala or any other similar establishment run by a Public Charitable Trust which provides accommodation with or without meals and the net income from which is utilised exclusively for charitable purposes;

(e) "luxury provided in a hotel" means accommodation for residence provided in a hotel including charges for air-conditioning, telephone, television, radio, music, sports, extra beds and other amenities, provided in a hotel"; and

(c) after clause (e) the following clause (ee) shall be inserted, namely:-

"(ee) "prescribed authority" means the authority, notified by the Government under clause (n) of section 3 of the Himachal Pradesh Registration of Tourist Trade Act, 1988 (9 of 1988), for the purpose of fixation of maximum rates and service charges for board and lodge which may be charged under the Act ibid, by the proprietor from the persons staying in the hotel or from other customers;".

Section 3. Amendment of section 4

3. Amendment of section 4.- For section 4 of the principal Act, the following shall be substituted, namely:-

"4. Levy and collection of tax.- (1) Subject to the provisions of this Act, there shall be levied and paid a tax in respect, of any luxury provided in a hotel (hereinafter called the "luxury tax") on the amount of charges payable for the luxury.

(2) The luxury tax under sub-section (1) shall be payable by the proprietor at the rates not exceeding ten paise in a rupee as the Government may by notification, direct.

(3) Where luxury is provided in a hotel and no charges for such luxury are made or charges are made at a concessional rate, the luxury tax shall he levied and paid as if the luxury was provided at the maximum rates and charges fixed by the prescribed authority under the Himachal Pradesh Registration of Tourist Trade Act, 1988 (9 of 1988):

Provided that where such rates have not been fixed by the prescribed authority or where the prescribed authority is not empowered to fix such rates, the luxury tax shall be levied at the maximum rates as may be determined by the Assessing Authority after having due regard to the maximum rates and charges at which the luxury has been provided in such a hotel at any time during the preceding six months:

Provided further that these provisions shall not apply to residential accommodation provided to his employees by the proprietor of the hotel.

(4) Notwithstanding anything contained in sub-sections (1), (2) and (3), the luxury tax may be assessed and recovered from the propietor, at lump sum, in the mariner prescribed, after taking into consideration, the capacity of a hotel, the rates and the charges fixed for such luxury by the prescribed authority under the Himchal Pradesh Registration of Tourist Trade Act, 1988 (9 of 1988), the entire period of a financial year and the rate of luxury tax as may be notified by the Government under sub-section (5).

(5) The Government may, for the purposes of sub-section (4), notify a rate of luxury tax different from the rate notified under sub-section (2) and assess and recover the luxury, tax on the entire luxury available in a hotel, subject to the condition that the rate shall not exceed the ceiling of ten paise in a rupee specified in sub-section (2).

(6) The luxury tax under the foregoing sub-sections may be collected by the proprietor from the persons to whom the luxury is provided in a hotel:

Provided that the liability to pay tax shall not be affected where a proprietor does not collect the luxury tax payable by him.

(7) In computing luxury tax under this section, a fraction of a rupee which is less than fifty paise shall be ignored and a fraction which is more than fifty paise shall be rounded off to the next higher rupee.".

Section 4. Omission of section 5

4. Omission of section 5.- Section 5 of the principal Act shall be omitted.

Section 5. Amendment of section 17

5. Amendment of section 17.- For sub-section (3) of section 17 of the principal Act, the following shall be substituted, namely:-

"(3) All rules made under this section shall be subject to the condition of previous publication:

provided that the State Government may for the purposes of sub-section (4) of section 4 of this Act make rules without previous publication."