(1) Every person who becomes entitled to be registered as an occupant under section 4 in respect of any land shall, with effect from and on the appointed day, be liable to pay to the State Government a land revenue,-
(a) in the case of an inam village to which survey and settlement has been introduced under the Act, an amount equal to the land revenue assessment fixed on such land during such survey and settlement ;
(b) in the case of an inam village to which survey and settlement has not been introduced under the Act, an amount equal to the land revenue assessment levied on the same extent of similar land in an adjoining unalienated village.
(2) The Deputy Commissioner shall, after such inquiry as he thinks fit, determine the land revenue payable under clause (b) of sub-section (1).