5. (1) Notwithstanding anything contained to the contrary in any Uttar Pradesh Act, where a NIRMAN Kshetra including its periphery or any part thereof is specified to be an industrial township under the proviso to clause (1) of Article 243-Q of the Constitution, such NIRMAN Kshetra or part thereof, if included in a Panchayat area, shall with effect from the date of notification made under the said proviso, stand excluded from such Panchayat area and no Panchayat shall be constituted for such NIRMAN Kshetra or part thereof under the United Provinces Panchayat Raj Act, 1947 or the Uttar Pradesh Kshettra Panchayats and Zila Panchayats Adhiniyam, 1961, as the case may be, and any Panchayat constituted for such industrial development area or part thereof before the date of such notification shall cease to exist.
EXPLANATION: The expression “Panchayat and Panchayat area” shall have the meanings assigned to them in Part IX of the Constitution.
(2) On and from the date of notification under sub-section (1), subject to prior permission and any general or special orders which the State Government may make in this regard, the NIRMAN Kshetra Authority shall Act as the authority for local administration, taking decisions and steps for assessment, imposition, and recovery of taxes under this section, for the said region and no other local authority shall have jurisdiction for this purpose.
(3) The assessment, imposition, and recovery of property tax under this Act by the NIRMAN Kshetra Authority shall be in such manner, as may be prescribed.
(4) Defined percentage of the property tax collected by the NIRMAN Kshetra authority shall be remitted to the Local Authority from which the area of NIRMAN Kshetra is carved out. This percentage shall be defined by the NIRMAN Board from time to time.