(1) A tenant who has made an improvement on the land held by him shall if his tenancy is terminated under the provisions of this Act, be entitled to compensation for such improvement. For determining the amount of the compensation the tenant shall apply to the Tahsildar in the prescribed form.
(2) The compensation which a tenant shall be entitled under sub-section (1) shall be the depreciated value of such improvement at the time of the termination of his tenancy. In estimating such value regard shall be had to,––
(a) the amount by which the value of the land is increased by the improvement;
(b) the present condition of the improvement and the probable duration of its effects;
(c) the labour and capital provided or spent by the tenant for the making of the improvement; and
(d) any reduction or remission of rent or other advantage allowed to the tenant by the landlord in consideration of the improvement including permanent fixtures.
(2) The compensation which a tenant shall be entitled under sub-section (1) shall be the depreciated value of such improvement at the time of the termination of his tenancy. In estimating such value regard shall be had to,––
(a) the amount by which the value of the land is increased by the improvement;
(b) the present condition of the improvement and the probable duration of its effects;
(c) the labour and capital provided or spent by the tenant for the making of the improvement; and
(d) any reduction or remission of rent or other advantage allowed to the tenant by the landlord in consideration of the improvement including permanent fixtures.
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More sections of this act
Section 1 · Short title, extent and commencement.Section 2 · Definitions.Section 3 · Delimitation of local areas.Section 4 · Determination of family holding.Section 5 · Application of Chapter V of Transfer of Property Act.Section 6 · Persons deemed to be tenants.Section 7 · Certain persons deemed to be tenants for purposes of this Act.Section 8 · Record of rights of ordinary tenants.India Code, Government of India. Text fetched 24 Oct 2026. Check the linked official text and subsequent notifications when applying a provision.