SCHEDULE II See section 11 (2) PRINCIPLES FOR DETERMINATION OF THE NET AVERAGE ANNUAL INCOME 1. The competent authority shall first determine the gross income actually derived by the holder of the vacant land acquired during the period of five consecutive years referred to in clause (a) of sub-section (1) of section 11 including any income from any produce derived from cultivation of the land during the said period. 2. For such determination the competent authority may- (a) hold any local inquiry and obtain, if necessary, certified copies of extracts from the property tax assessment books of the municipal or other local authority concerned showing the rental value of such land; (b) estimate the income from any produce from such land, after holding such local inquiry and taking such evidence as it thinks fit and after giving an opportunity to the person concerned of being heard in the matter. 3. The net average annual income referred to in clause (a) of sub-section (1) of section 11 shall be sixty per cent. of the average annual gross in come which shall be one-fifth of the gross income during the five consecutive years as determined by the competent authority under paragraph 1.4. Forty per cent. of the gross annual income referred to above shall not be taken into consideration in determining the net average annual income but shall be deducted in lieu of the expenditure which the holder o f the vacant land would normally incur for payment of any tax to the municipal or other local authority and for collection and other charges including cultivation charges. |