Himachal Govt to amend land Revenue Act, introduce Environment Cess
Shimla, March 27,
The Himachal Pradesh government is set to amend the Land Revenue Act to expand land revenue recovery and introduce an environment cess. The proposed amendments aim to enhance revenue collection by bringing previously untapped land holdings and commercial entities under taxation.
Revenue Minister Jagat Singh Negi stated that the HP Land Revenue (Amendment) Bill, 2025 will redefine “landowner” under Section 4(9) to expand the scope of revenue assessment. A new provision, Section 63A, proposes an environment cess of up to 2% on the assessed revenue of applicable entities. Additionally, Section 50 introduces a special revenue assessment on non-agricultural land use within designated assessment circles, ensuring that previously exempt landowners contribute to state revenue.
Minister Negi emphasized that many power projects and private companies hold vast land parcels in Himachal Pradesh but remain outside the revenue framework. The amendments will bring such holdings under taxation, generating essential funds for state development. The bill also proposes exemptions for specific lands in the public interest to support welfare and developmental projects.
To promote environmental accountability, the amendment includes the establishment of an “Environment Fund” to finance environmental protection initiatives aligned with sustainable development goals. The bill also introduces interest penalties on delayed land revenue and cess payments to ensure timely compliance. Additionally, legal protection for revenue officers and authorized personnel acting in good faith under the Act has been proposed.
The amendments aim to strengthen revenue administration, improve procedural efficiency, and encourage sustainable land use. The state government believes these reforms will ensure fair taxation and enhance overall governance.
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