Bihar cabinet authorises Gram Panchayats to levy and collect taxes, approves delimitation of Panchayat bodies
The Bihar cabinet, chaired by Chief Minister Samrat Choudhary, approved the draft 'Gram Panchayat Taxes, Rates and Fees Rules, 2026' on July 15, 2026, authorising Gram Panchayats to impose and collect taxes including holding tax, profession fees, trade fees, advertisement fees, and user charges. This move aims to enhance Panchayats' Own Source Revenue (OSR) and reduce dependence on state funds. The cabinet also approved delimitation of Gram Panchayat, Panchayat Samiti and Zila Parishad constituencies based on 2011 Census data to strengthen local governance. Additionally, it approved three water supply projects worth ₹596.43 crore and a sewerage network project worth ₹232.90 crore under AMRUT 2.0, amendments to mining rules to boost e-auction participation, extension of Tharuhat development schemes until 2030-31, and increased honorarium for ex-servicemen warders in prisons.
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Bihar cabinet authorises Gram Panchayats to levy and collect taxes, approves delimitation of Panchayat bodies
The Bihar cabinet, chaired by Chief Minister Samrat Choudhary, approved the draft 'Gram Panchayat Taxes, Rates and Fees Rules, 2026' on July 15, 2026, authorising Gram Panchayats to impose and collect taxes including holding tax, profession fees, trade fees, advertisement fees, and user charges. This move aims to enhance Panchayats' Own Source Revenue (OSR) and reduce dependence on state funds. The cabinet also approved delimitation of Gram Panchayat, Panchayat Samiti and Zila Parishad constituencies based on 2011 Census data to strengthen local governance. Additionally, it approved three water supply projects worth ₹596.43 crore and a sewerage network project worth ₹232.90 crore under AMRUT 2.0, amendments to mining rules to boost e-auction participation, extension of Tharuhat development schemes until 2030-31, and increased honorarium for ex-servicemen warders in prisons.
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