Section 3. Power of the Government to levy and collect water tax.

With effect on and from the date of commencement of this Act, the Government shall be entitled to levy and collect in respect of every land receiving water for 1[irrigation and Aqua-culture purposes] from any Government source of irrigation notified under section 4, for each fasli year at rates specified in the Schedule. Explanation:- For the purpose of levy of water tax under this section:- (i) all Government sources of irrigation classified as major and medium irrigation projects shall be regarded as category-I and all other Government sources or irrigation which supply water for a period of 1[not less than four months] in a year shall be regarded as category-II; and (ii) all lands whether classified as wet or dry or otherwise classified as irrigated wet or irrigated dry shall be regarded as dry; 2[(iii) "Aqua-culture" means, culturing of Prawn, fish or any other aquatic life in captivity, inside tanks, ponds, pens, or any other enclosures utilizing water from a Government source.]