(1) (a) The proceeds of the tax collected under this Act every year shall be credited to the Consolidated Fund of Puducherry .
(b) There shall be paid to each local body which, at the commencement of this Act, was levying tolls or vehicle tax on motor vehicles or both, a sum equivalent to the average annual income derived by such local body during the three years ending on the 30th day of June, 1966, from such tolls or vehicle tax on motor vehicles, or both, as the case may be.
(c) The Government shall determine the sums which should be credited to it or paid to local bodies under clauses (a) and (b) and such determination shall be final.
(2) In determining the amount payable to a local body under clause (b) of sub-section (1), the Government shall take into account,---
(a) the arrears of tolls or vehicle tax on motor vehicles left uncollected, which could have been collected;
(b) the amount which the local body should have paid to any other local body on account of collections made on behalf of the latter and remaining to be adjusted; and
(c) the vehicle tax payable on vehicles owned by the local body or by its employees in respect of which exemptions were granted by the local body.
(3) All sums payable to local bodies under this section shall be expenditure charged on the Consolidated Fund of Puducherry.
1[Permit to be ineffective if tax not paid 12-A. Notwithstanding anything contained in the Motor Vehicles Act, 1988 (Central Act 59 of 1988), if the tax due in respect of a transport vehicle is not paid within the prescribed period, the validity of the permit shall become ineffective from the date of expiry of the said period until such time the tax is actually paid.
Offences by companies 12-B. (1) Where an offence against any of the provisions of this Act or any rule made thereunder has been committed by a company, every person, who at the time the offence was committed, was in-charge of, and was responsible to the company for the conduct of the business of the company as well as the company, shall be deemed to be guilty of the offence and shall be liable to be proceeded against and punished accordingly:
Provided that nothing contained in this sub-section shall render any such person liable to any punishment, if he proves that the offence was committed without his knowledge or that he exercised all due diligence to prevent the commission of such offence.
(2) Notwithstanding anything contained in sub-section (1), where an offence punishable under this act has been committed by a company, and it is proved that the offence has been committed with the consent or connivance of, or is attributable to any neglect on the part of any director, manager, secretary or other officer of the company, such director, manager, secretary or other officer s hall also be deemed to be guilty of that offence and shall be liable to be proceeded against and punished accordingly.
Explanation. --- For the purposes of this section, ---
(a) "company" means any body corporate and includes a firm, society or other association of individuals; and
(b) "director" in relation to --
(i) "a firm" means a partner in the firm,
(ii) "a society or other association of individuals" means the person who is entrusted under the rules of the society or other association with the management of the affairs of the society or other association, as the case may be.]
1. Inserted vide Act No.6 of 2003 w.e.f 19.5.2003 published in EG Pt -II No.20 dated 20.5.2003.
Exemptions