The functioning of a Government can be categorized into National, State and Local. Local Self- Governments are those bodies that look after the administration of a area or small community such as village, town or a city. These bodies are appointed by the Government representing the local inhabitants, which raises its revenue partially through local taxation and other means. . The Local Self- Government can be divided into various classes like Corporations, Cities, Town Municipalities and Town Panchayats on the basis of population.
The Local Self Government is entitled to discharge certain compulsory functions like:
Apart from these the Local Self Government can deliver some discretionary functions including educational, health, community and recreational services etc.
In order to deliver the above duties, the Local Self Government have been given certain powers to earn revenues by levying certain taxes and fees. In addition to it, the State Government also transfers some of its general revenues to the Local Self Government. Their main sources of is from taxes on construction and lands, taxes levied on people for water supply, and fee from trade license.
The Local Self Government of Punjab cannot be said to be very developed like the states of Karnataka or Maharashtra.
Following are the divisions of Local Self Government in Punjab:
