Section 40. Taxation.

(1) Subject to such rules as may be made in this behalf, a Gram Panchayat shall impose yearly tax on lands and buildings within the local limits of the jurisdiction of the Gram Panchayat. (2) Subject to such maximum rates as the Government may prescribe, a Gram Panchayat may levy the following fees and rates, namely:-- (a) a fee for providing sanitary arrangements at such places of worship or pilgrimage, fairs and melas within its jurisdiction as may be specified by the Government by notification; (b) a lighting rate, where arrangement for lighting of public streets and places is made by the Gram Panchayat within its jurisdiction; and (c) a conservancy rate, where arrangement for clearing private latrines, urinals and cesspools is made by the Gram Panchayat within its jurisdiction.