Traditional Land

Classification System
Bhim Bahadur Phadera (Adv.)
Asst. Professor, FWU - FoL
LL.M., B.A.LL.B., (T.U.)
9844801420
Raikar System
• The term Raikar is probably derived from Sanskrit words Rajya (state)
and kara (tax) thereby denoting land on which the state levies taxes.
• Raikar is therefore land which is the state retains under its ownership
and taxes the private individuals who operates it. It means land o
which taxes are payable to the government and which is listed in the
official records.
• This distinguishes Raikar from the other form of land tenure Birta,
Guthi, and Kipat, which do not necessarily pay tax and for the most
part are not listed in officials records.
• The state has traditionally considered itself the owner of all lands
within its domain.
• It was believed that land as a free commodity to be distributed amng the local
inhabitants on the basis of their need and the availability of lands.
• Muluki Ain 1910 Chapter On Land No. 1
• Other cultivable paddy land (kheta) shall be distributed to all peasants by
allotting land of good and bad quality [proportionally] according to the
[number of] members [of a household] and their physical capacity. If, when
distributed land made newly cultivable out of barren land is not sufficient [for
its cultivators], a share of cultivable village land equal [to the shortfall] shall
be provided. If the portion of land made newly cultivable is sufficient, there is
no need to provide [additional] paddy land. No land that has been made newly
cultivable shall be seized.
• Price of cultivated land was determined by the value of human labor
incorporated into it or occasionally, the higher marginal values of land
due to location or productions qualities.
• After human labor and investment were incorporated on the land
occupancy right emerged with the result that land is inheritable and
transferable but may be resumed by the state on nonpayment of taxes.
• the right to land was recognized for purpose of utilization so long as
taxes are paid regularly but in case of default the state reversed the
right of foreclosure.
• Rights on Raikar land are limited to occupancy right in relation to
state. In the event of default tax arrears are not realizable out of the
value of the landed property.
• It means where dealing with state is concerned, land has no value as
such and that the rights of the cultivators are secure only so long as he
pays the taxes regular.
• The relation between the state and the cultivators are thus essentially
similar to those between a landlord and his tenant.
• Regularity payment of the land tax is the prime condition for holding
land.
• Land owner is listed as Mohi (tenant) in the assessment records.
• Transaction of Raikar land involve a transfer of occuapancy rights
only and not of the land itself.
• The cultivators working Raikar land are merely tenants, and have no
ownership rights over the land as such.
• Raikar tenure may accordingly be described as a form of state
landlordism which originally involved a direct relationship between
the state the cultivator.
नेपाली बृहत शब्दकोश २०७५
• रैकर: अरु कसैको अधीनमा नभएको रैती आफैले
सरकारमा तिरो तिरेर कमाउने जग्गा, तिरो वा
बाली तहसिल गर्ने गरी सरकारद्वार
रैतीलाई कमाउन दिएको जग्गा, राजगुठी र
सरकारी लिखतबाहेकको राज्यकरको प्रत्यक्ष
रुपमा रहेको गैह्र गज्गा ।
Muluki Ain 2020 Chapter on Land Evictions
• No.1: Rajguthi lands and Kipat lands without official documents shall
be equivalent to Raikar (land subject to tax). Lands of all other
categories shall be Raikar.
Land Act 2021
• Section 2(b): "Tenant" means a peasant who
holds the land that belongs to another landowner
to till the same on any terms and cultivates the
land by him/herself or his/her family's labour.
Jirayat
• In addition to commission, the jimidar was allowed personal
use of a plot of land attached to the jimidari holding, known
as a jirayat.
• Jirayat land is taxable like agricultural land or any other
category.
• The facility to jamindar exists only in that it constitutes his
personal demesne on which he can appropriates rents.
• Therefore the jmidar is allowed personal use of a plot of land
attached to the jimdari holding, known as a Jirayat.
नेपाली बृहत शब्दकोश २०७५
• जिरायत:जिमिदारी प्रथा कायम
हुँदा जिमीदारका खान्कीमा
ठेकिएको जमिन,
• There is no precise rule to determine the extent of jirayat land in
proportion to the size of the Jimidari holding.
• Jirayat farms are said to be larger in the western terai districts where
units of cultivations are relatively larger and the pressure of
populations on the land lower than in the estern terai districts.
• jirayat system was originally established as part of the government
policy of encouraging the extension of the area under cultivations in
the terai.
Birta Land
• Giving by the state of its ownership rights in land in favor of private
individuals resulted in the emergence of the Birta system. Its literal
meaning an assignment of income from the land by the state in the
favor of individuals in order to provide them with a livelihood.
• Birta came into existence only after the state divests itself of
ownership, private ownership of land in Nepal which Birta implies, is
an not original right but is the result of a specific grant by the state.
• Land grants system by the state to members of selected classes to
assure them a stable income and ample leisure to engage in war,
religionor politics in the interests of the ruler.
• The land granted by the state in favor of priests, religious teachers,
soilders, and members of the nobility and royal family accordingly
constituted the foundation of then time state, such grants led to
emergence of Birta system.
• The Birta ownership not only insured a stable and secure income to
the beneficiary but also symbolized high social and economic status.
• Birta was infact regarded as a from of private property with a clearly
defined rights in relation to state.
बिर्ता उन्मुलन ऐन २०१६
• “बिर्ता जग्गा” भन्नाले सरकारी मतलपोत जम्मै
माफी गरी वा त्यस ठाँउको त्यस्तै किसिमका रैकर
जग्गामा लागेको मालपोत भन्दा कम तिर्ने गरी
पाएको वा हक भैरहेको सवै सवैकिसिमको जग्गा
सम्झनु पर्दछ र खण्ड (ख) र (ग) समेत परिभाषित
गरिएको बमोजिमको जग्गालाई समेत जनाउँदछ ।
• Under the Birta system peasants worked on behalf of the Birta owners
in conditions over which the government exercised no control.
• Police and judicial fuctionsn were discharged by the Birta Owners and
every local inhabitants was under the obligations to provide unpaind
labor services to them.
• Exempt from the regular land tax due to government, Birta owners
were entitled to appropriate not only agricultural rents but also
revenue from non agricultural sources.
• Birta system undoubtedly served the social economic and political
needs of the ruling classes of Nepal during the period before 1951.
• It was form of privileged landownership system that enabled them to
exploit the land resources of the nation for their personal advantage.
• Birta System is abolished by the Birta Abolition Act 2016.
 Kipat: Communal Landownership System
• Other form of tenure had no reference to the ethnic or communal origin of the
land owner nor to the location of the land in any particular geographical area.
They reverted to the state if the owner died without leaving an heir or
relinquished his lands for any reason.
• In the Kipat form of land ownership on the other hand the communal authority
superseded any claim the state might extend on grounds of internal
sovereignty or state landlordism.
• Rights under Kipat tenure emerged not because of royal grant but because the
owner as member of a particular ethnic community was in customary
occupation of lands situated in a particular piece of land but where his rights to
dispose of the land are restricted on the theory that the land belong to the chief
or to the tribe.
 ……
• The Kipat system may have been a relic of the customary form of land
control which communities of Mongoloid or autochthonous tribal origin
established in areas occupied by them before the immigration of racial
groups of Indo-Aryan origin.
• Prominent among the kipat owning communities of Nepal were the Limbus
of Pallokirat, a term traditionally used to denote the present districts of Ilam
Dhankuta, Panchthar, Terhathum, Taplejung and Sankhuwa-Sabha.
• Other kipat owning communites which included Rai, Majhiya, Bhote, Yakha,
Tamang, Hayu, Chepang, Baramu, Danuwar, Sunuwar, Kumhal, Pahari,
Thami, Sherpa, Majhi and Lepcha were scattered throughout the eastern and
western midlands.
 …
• Kinship, geographical location and customary occupation were the main
characterstics of kiapt landownership. A kipat owner derived his rights by
virtue of his membership in a particular ethnic groups.
• Thus, under the Kipat system each segment of a dispersed patrilineal clan
was associated with a particular territory and individual rights to land were
established on the basis of membership in such local descent group.
• Exclusive character of kipat system in relation to specific ethnic groups was
manifested in practical form in the non-salability of land to the other groups.
Kipat land generally could not be sold outside the community.
• There was however no restriction on alienation within the group itself. Kipat
land alienated by a Limbu to another Limbu would still retain its communal
character but no when transferred to a Tamang.
…..
• The communal character of kipat landownership did not mean that land
was actually cultivated on communal basis.
• Kipat land in fact, was owned and cultivates by individuals but only
subject to the reversionary rights of the community.
• This meant that if any member of the Kipat owning community ceased to
exersice his rights to own and cultivate his ancestral plot oof land, the
right to determine the nature and extent of its use by others was enjoyed
not by him, not by the state as on Raikar lands, but by the community.
• Such vacant lands reallocated to the suitable applicant within the
community by the headman in his capacity of representative of the
community.
Land Act 2021
• Chapter-2 Abolition of Jimidari
• Section 4: Provision on Kipat:
1) The Kipat land may, like the Raikar land, be transferred by
conveyance (Pharchhe Rajinama).
2) The Kipat land shall, like the Raikar land, be subjected to land
revenue.
Ukhada
• The position of the Jimidar as landowner was more prominent under
the special form of the system known as Ukhada which is existed in
the districts of Nawalparasi, Rupandehi, and kapilvastu.
• The chief characteristics of the Ukhada system was that landownership
rights were vested in the jimidar who collected the rents from the
registered landholders in cash.
• The difference between these cash rents and the tax payable to the
state constitute the jimidar’s profit.
उखडा
सम्वन्
धि ऐन,
२०२१
• This is like contract farming by paying fixed cash or kind payment to the
landlord.
• The land they cultivated (or cultivate) was not registered in anyone’s land, but
landlords had control in it, according to Sir Jirayat.
• In the past landlord had land in many places and they were not able to cultivate
all the land. The land would remain fallow and in this case they were not able to
pay the land revenue.
• If land revenue is not paid, land could have been publicly auctioned. To save the
land under their jurisdiction, they employed Indian and Nepali landless people to
cultivate the land and charged the rent, some times more than the double of land
revenue to be paid.
• The land revenue had then to be paid to the government. They took cash rent.
• Waste and Forests lands in those districts were registered in the name
of jimidars on the taxable basis. In order to lessen their tax liability
jimidar gave such lands to cultivatirs on relatively favorable terms
which eventually assumed the form of the Ukhada system.
• The Ukhada system thus constituted a via media between full-fledge
jimidari landownership and tenancy.
• Rents not being payable in kind the tenant was able to profit byr=
rising the prices. The jimidar on the other hand was assured nominal
ownership of land and small margin of profit.
• The Ukhada Act 2021 abolished the Ukhada system in Nepal.
 Jagir System/Khangi or Khanki
• According to the traditional land system in Nepal, the state was a landlord
entitled to receive rents from the cultivators. There existed a clear division of
the fruits of the cultivation of the land Talsing-Boti, the landlord’s share
accruing to the state and Mohi-Boti the portion of the crops that the
cultivators was allowed to retain.
• Assignments of the Talsing-Boti in favor of government employees and
functionaries as their emoluments created the Jagir form of land tenure.
• Lands on which the state retained the Talsing-Boti were in contradistinction,
designated as Jagera or reserve, presumably in anticipation of eventual
assignments as jagir.
• The totality of Jagera and Jagir lands constituted the area owned by the state
under Raikar tenure.
• The Jagir land tenure system in fact emerged only through the assignment of
revenues of Raikar lands.
• In its ultimate form the jagir system implied a mere assignment of land revenue.
Jagirdars, unlike Birta owners did not enjoy the rights to resume lands for personal
residence or cultivation.
• The term khangi was used to denote the rents accruing from the lands assigned to
any jagirdar.
• While Birta land ownership rights were generally inheritable and transferable,
jagir rights were limited to the individuals use of the assignee.
• The Jagirdar was no doubt permitted to sell or mortgage rents on his Jagir lands
during any particular year but such transactions did not have any effect on his
jagir rights as such
….
• Birta constituted the form of private property but jagir was a
temporary assignment intended to compensate the jagirdar for the
specific services rendered by him and terminable at discretion of the
government.
• Jagir land assignments were made to all categories of civil and
military functionaries all over the kingdom as well as to the
washermen, porters, cowherds, musicians, goldsmiths of gunpowder
factories arsenals and the officials entrusted with the responsibility of
writing petitions to the Chinese emperor and diplomatic
correspondence in sanskrit.
• the jagir were temporary, lifetime, or inheritable according to the
terms of assignment.
….
• Assignments of land as jagir didi not automatically entitled jagirdars
to collect rents from the cultivators. For this they received annually
documents known as Tirja which specifid the form and level of rent
payment.
• The figure mentioned in the Tirja conformed to that indicated in the
tax assessment records.
• In 2008 BS the government of Nepal resumed all the assingments of
Raikar land as Jagir and imposed taxes on them at currents rate. It also
directed payment of cash salaries to all government employees
according to prescribed pay scale.
• This marked the end of the jagir system of landownership in Nepal.
Rakam: System of Free Labor Service
• The right of the state to exact compulsory, unpaid labor from its
subjects for public purposes has traditionally been recognized in Nepal.
• They were taken into the army, employed in munitions factories, or
forced to work s porters for the transportation of military stores.
• The government also impressed their services to construct and repair
forts bridges, and irrigation channels reclaim waste lands capture wild
elephants and supply fuel woods charcoal fodder and other materials
required by the royal hoseholds.
• In this system known as Jhara people could be employed without
wages in any manner required by the government.
• In order to insure that the onerous and gratuitous character of Jhara services
should not alienate the peasantry the government started providing Jhara
workers with specials facilities of fiscal and tenurial nature.
• Jhara workers were granted full or partial exemption from the payment of
taxes due on homesteads although their obligations to pay rents or taxes rice
lands remained unaffected.
• They were also protected from the eviction from the lands being cultivated
by them so long as they made the prescribed payments and performed the
prescribed labor services.
• Such facilities and benefits could be provided only when the services
rendered by Jhara workers were regular and specific.
• The general labor obligations due under the Jhara system were therefore commuted
whenever possible to specific to be rendered on a regular basis by the inhabitants of
specific village or area. The system was then konwn as Rakam.
• Whereas the labor supply required for the construction of roads or the repair of
bridges was obtained under the Jhara system, Rakam services included the supply
of fuel wood and charcoal for governmental establishments and the transportations
of mail.
• In other words Jhara labor was impressed for nonrecurring purposes and Rakam
supplied the regular needs.
• Under the Rakam system the services of the inhabitants of specified village or areas
were assigned on regular basis for the performance of labor according to the
requirements of the government and lands being cultivated by the them were
converted into Rakam tenure.
• The imposition of Rakam obligations did not of itself create a new
form of land tenure.
• The conversion into Rakam tenure of Raikar or Raj guthi land held by
Rakam workers and occasionally the allotment of additional lands to
them represented essentially administrative measures aimed at
insuring the continuity of Rakam services and the stability of the
Rakam population.
• Rakam obligations were imposed upon able bodied populations, those
who were unable to perform Rakam obligations i.e minor, old alged,
lame crippled, widow, were called Chuni
• The acceptance of the Rakam obligations were left to the choice of the
peasants. But nonacceptance led to the forfeitures of his right to
cultivate his lands.
• The voluntary nature of Rakam obligations was purely illusionary.
• The obligations were generally expressed in terms of the number of
days to be worked during the year. Most Rakam workers were
required to serve for six days each month, a total period of 72 days in
the year.
• The six days period was staggered among the number of work teams
in such a way that the government was able to untilize Rakam services
regurlarly throughout the year.
• Rakam workers cultivate rice lands under Raikar, Kipat, or Rajguthi
tenure. Their obligations to pay rents on such lands remained
unaffected.
• Most of the Raikar area during the 19 th century had been assigned as
jagir and Rakam workers therefore paid rents to jagirdars in the
capacity of tenants.
• Rakam tenants were garnted a number of tenurial facilities that were
not available to cutivators on lands of other categories.
• To some extent those facilities were provded in consideration of the
dual obligations borne by them- of paying rents on their lands while
simultaneously providing the labor services to the government.
Abolition of Rakam System
• The Interim Government Act 2007 declared the abolition of
compulsory and unpaid labor to be directive principles of state policy.
• Ultimately in 2020 Muluki Ain abolished this practice entirely.
• The No. 6 of Chapter on Jagga Pajaniko had stated “all the Rakam
imposed on the land have been abolished. If taxes have not been
imposed o Rakam lands or have been imposed at rates lower than
those current in any area these shall now imposed and collected at
current rates.”
Jhora Land System
• In 1970-71, landless peasants had occupied the forestland in Morang
district and other surrounding districts, and they were killed by the
army for encroaching upon the forest.
• The killings raised a protest by landless people (sukumbasis).
Government then introduced a new Act called Jhora Land Act 2028
(1971). It was enacted to give land rights to landless families.
Jhora Land Act 2028
• Preamble: Whereas, it is expedient to make timely arrangements
regarding reclaimed Jhora Land in Morang, Sunsari and Jhapa districts
in order to maintain peace and order and insure the economic interests
of the general people,

• Section 1(2). This Act shall be commenced on the Jhora land of

Morang, Sunsari and Jhapa districts.
 Section 2. Definitions:
• Unless otherwise meant with reference to the subject or context, in this Act,
• (a) “Jhora Area” means settled area of cleared (Phadani) forest as authorized
by the law.
• (b) “Landowner” means a person in whose name lands have been registered
or who has the right to register land in his/her name pursuant to the
prevailing Nepal Law.
• (c) “Cultivator/peasant (Raiti)” means a person who has settled down on land
situated in the Jhora land and who is cultivating such lands
through his/her own labour or the labour of his/her family.
Section 3. Title of Landowners to Lapse:
• (1) All rights and titles of any lands within Jhora areas where this Act
came into force shall lapse, in case such land is not cultivated by him/her
and cultivated through tenants.
• (2) Except otherwise explicitly provided for in this Act, irrespective of
whether any decision has already been made to allot land within Jhora
area to any person before the commencement of this Act, no such land
shall be obtained by or registered in his/her name through to such
decision after the commencement of this Act.
• (3) The landowner, whose title to the land is lapsed pursuant to
Subsection (1), shall be paid not exceeding Five times of the amount of
the land revenue payable thereon as compensation.
• Provided that, no compensation shall be paid for any land which has not
already been registered pursuant to the prevailing Nepal Law.
4. Sale and Distribution of Land:
• (1) Land within Jhora area, where this Act came into force, shall be sold by
the prescribed authority to peasants who have settled down there and who
have been cultivating such land, for a period of at least One year, at the rate
of a maximum of Four Bighas each, with due consideration to the size of
the family of each peasant.
• (2) Lands left over after sale or distribution pursuant to Sub-section (1)
shall be sold or distributed by the prescribed authority to the prescribed
persons at the prescribed price and in the prescribed manner.
Kharka Land System
खर्क-खरक: गाई बस्तुको गोठ राख्न र तिनिहरुलाई चराउनका
लागी राखिएको बाँझो रैकर जग्गा

नेपाली बृहत शब्दकोश

२०७५
 Sec. 2(a), Pasture Land Nationalization Act
2031
• Pasture Land means land used under any name
exclusively for pasturage purposes after or without
having it registered in a government office.
• “खर्क जग्गा” भन्नाले अड्डा खानामा दर्ता
गराइ वा नगराइ खर्क, खर्कचोक आदी कुनै
नामले पशचुरनलाई मात्र प्रयोग गरी आएको
जग्गालाई सम्झिनुपर्दछ ।
• The pasture land system in Nepal is a traditional form of communal land use
for livestock grazing. In this system, the pasture land is owned and managed
by the local community, who allocate the land to individual households for
grazing their livestock.
• Pasture lands are typically found in the hilly and mountainous regions of
Nepal, where arable land is limited, and the livelihoods of many communities
depend on livestock rearing.
• The pasture land system is an important source of fodder and grazing for
livestock and has been an integral part of the traditional livelihoods of rural
communities in Nepal for centuries.
• In the some areas of Nepal, particularly at high altitudes in the hill districts
and in the western Tarai, pasture land is sometimes found as a separate
category of taxable land.
• With the increasing pressure on the land it was inevitable that most land
classified as a pasture land has been utilized increasingly for agriculture
purposes.
• It should be also noted that potatoes, wheat, barley were sometimes
cultivated on pasture land during summer when grass is plentiful
elsewhere.
• Pasture land is never been measured or graded ad a cadastral survey and
classification have therefore been recommended.
• In the absence of measurement taxes on pasture land are assed on the
basis of the number of cattle grazed, or the size of the pasture land
estimated in rough and ready fashion or in a few cases on the number
of graziers using it.
• The tax on pasture land assessed on the basis of the number of cattle
grazed is called Chari Rakam in the Terai districts. But only foreign
graziers and local people living at least half a mile away from the
pasture land are liable to pay.
• It is interesting to note that pasture land tax was remitted in the case of
cows, bulls and calves possibly out of religious considerations.
• The Pasture Land Nationalization Act 2031 nationalized all the pasture
lands in Nepal.
• Section 3 this Act states:
• Nationalization of Pasture Lands: With effect from the date of the
commencement of this act, all pasture lands in the Nepal shall be
nationalized, and their 'ownership shall accrue to Government of
Nepal. The ownership rights of registered owners existing on pasture
land prior to the commencement of this act shall ipso facto lapse.
 …
• Provided that:
• (a) The registered owner may retain possession of pasture land within the
ceiling prescribed by current Nepal law, even if the land is being used
exclusively for pasturage for personal purposes.
• (b) Not withstanding the enforcement of this Act, Government of Nepal may
grant exemptions according to current Nepal law for the following purposes:
• (a) Horticulture
• (b) Animal husbandry
• (c) Herbal farming
• (d) Tea plantation
Section 6
• चरी रकम लिई वस्तु भाउ चराउन दिईने: : (१)
गाउपालिकाले आफ्नो अधिनस्थ खर्क जग्गामा
चौरीगाई, गाई, भैंसी, घोडा, खच्चर आदी ठूलो
जनावर प्रत्येरक बढीमा तिन रूपैयाासम्म र
बाख्रा, खसी, बोाका, भेडा, च्यााग्रा आदी
सानो जनावर प्रत्येकको बढीमा एक रूपैया
सम्मा बार्षिक चरि रकम लिई अघिदेखी सो
खर्कमा चराई आएको समेत सबैको बस्तु भाउ
चराउन दिनु पर्ने छ ।
Guthi: Institutional Landownership System
• When the state grants land for use by religious or charitable institutions
led to the emergence of Guthi landownership. The Guthi system helped
to satisfy the religious propensities.
• The term Guthi is a corrupt form of the Sanskrit Ghosthi used in
inscriptions in both Nepal and India during the ancient period.
• In both Nepal and india the term Gosthi or Guthi was originally used to
denote an association of persons responsible for the management of
religious and philanthropic land endowments not the endowments
themselves.
• The use of this term to denote the lands endowed rather than the body
formed to supervise the functions to be discharged with the income,
probably started only after the Gorkhali conquests.
• Traces of the ancient practice of using the term Guthi denote a corporate body
formed to discharge social, cultural, or religious functions, rather than the
lands endowed for financing these functions, can still be found in the customs
of Newar community in Kathmandu valley.
• Among the Newars the term Guthi is used to denote an organization based on
caste or kinship or occasionally on geographical propinquity which insures
the continued observances of social and religious customs and ceremonies of
the community.
• The term Guthi in this sense is primarily used to denote a social institutions
that determines the rights and obligations of Newar in his community. It is
obvious that such institution has no relationship with the land tenure system.
नेपाली बृहत शब्दकोश २०७५
• गुठी: १. धार्मिक वा परोपकारी कार्य सञ्चालनका लागी
छुट्याईएको, त्यसैबाट आउने आयस्ताले देव-पितृको
पूजाआजा आदीको रेखदेख गर्ने सामाजिक संस्था,
• २. गुठीले मात्र प्रयोग गर्न सक्ने वा गुठीका नाममा
रहेको घर, जग्गा श्रीसम्ती आदी
…
• The term guthi therefore has a connotations wider than is suggested by
its use in the context of land tenure for endowments under guthi
system can be made other forms of property as well.
• Guthi endowments have traditionally been made also in the form of
different sources and cash and investments. Nevertheless the majority
of existing guthi endowments are in the form of land because of
predominant importance of land as a form of property and source of
income.
• Form the point of view of Guthi land system, endowments of land for
the performance of religious and charitable functions is necessary.
 ….
• In other words to be a part of the Guthi system it is not enough that lands
should merely be endowed for the specific purposes.
• The religious or charitable nature of such purposes constitute the criterion for
determining whether or not the endowments fall within the ambit of Guthi
system.
• therefore, the religious and charitable aspects of the Guthi system and its basis
in the endowments of land are the primary elements determining guthi land
tenure system which land tenure utilized for the establishment of temples,
monasteries, orphanages charity kitchens and other similar institutions.
• It is the institutional land tenure, the religious and charitable aspects of which
have given rise to special problems and characteristics in the field of land
tenure and taxation
Sec 2c, Guthi Corporation Act 2033
• (c) “Guthi” means and includes a Guthi (trust) endowed by
any philanthropist through relinquishment of his or her title to
a movable or immovable property or any other income-
yielding property or fund for the operation of any shrine (matha) or
festival, worship or feast of any God, Goddess or for the construction,
operation or maintenance of any temple, shrine (devasthal), rest house
(dharmashala), shelter (pati), inn (pauwa), well, tank, road, bridge,
pasture, garden, forest, library, school, reading hall, dispensary,
treatment facility, house, building or institution for any religious or
philanthropic purpose.
Muluki Civil Code 2074
• Sec 314. Trust deemed to be established: If a person makes
necessary arrangements for the operation and management by another,
of a property in which the person has right, ownership and possession
for the benefit of beneficiary, a trust shall be deemed to be established.
• Explanation: For the purposes of this Chapter, the term "beneficiary"
means a person, group, general public, body whether incorporated or
unincorporated, or community getting the benefit from the trust
property.
Muluki Ain 2020
Objective of the Guthi Endowment
• Guthi land endoments were made primarily with objectives of acquiring
religious merit. Gift of land per se earned religious merit for the donor.
• Guthi endowments were also made for the deity of the donors choice to
insure the fulfillments of personal wish.
• Guthi endowments were in the name of religion have been made also for
the such purposes as grazing the sacred bulls of the pasupatinath temple in
Kathmandu and for the feeding sacred monkeys in the temple area.
• The major religious endowments made by the state or by individuals
include basic functionaries or specific offerings or rituals at temples and
monasteries and the financing of festivels.
• Guthi endowments were also made for the maintanicne of res house,
roadside shelter at places of pilgrimage or along main pilgrimage
routes, where drinking water food and loading were supplied to
pilgrims and travelers.
• Security from confiscation by the state and seizure by creditors and a
ban on the revocation of the endowments are essential attributes of
Guthi system.
• The landowners have often taken advantage of these attributes to
fulfill objectives quite remote from considerations of religion and
charity.
Categories of Guthi Land
Rajguthi and Duniya Guthi
• Guthi endowments were traditionally differentiated on the basis of
their authorship. A distinction was made between rajguthi endowments
made by the members of the royal families and Duniya Guhti those
made by the private individuals.
• The duniya guhti denoted endowments made by private individuals on
Birta lands on which they enjoyed the rights, possession, use, transfer
and bequest.
• Duniya Guthi may be defined as endowments made by the privat
eindividuals on the lands owned by them or on those obtained from
the government for use or endowments s Guthi.
• Presently Raj Guthi includes lands which though originally endowed
by the private individuals were subsequently acquired by the
government as a result of confiscation, the extinction of the donor’s
family or voluntarily surrender by the donor or his susccessors.
• Accepted principle is that Guthi endowmens are permanent and
irrevocable and that any violation of the religious and charitable
fuctions prescribed therein constitutes an encroachment upon religion.
• The state therefore assumed the obligation of insuring that these
functions were not disrupted under any circumstanes.
Sec 2, Guthi Corporation Act 2033
• (d) “Rajguthi” means a Rajguthi (state trust) which the
Guthi Corporation has right and liability in and is being managed
and operated by the Guthi Corporation at the time of
the commencement of this Act.
• (f) “Personal Guthi” means an individual’s private Guthi other than a
Rajguthi and Chhut Guthi.
 Muluki Civil Code 2074
• Sec 315. Trust may be public or private: (1) A trust may be either public
or private.
• (2) A trust established for the accomplishment of the following object
shall be deemed to be a public trust:
a. To establish, operate and use a fund for infrastructures of economic development
or other development works,
b. To establish and operate a fund necessary for the development of skills, creation
of employment opportunities and development of the people with low income,
c. To operate social welfare programs,
d. To establish and operate such educational and academic institutes like schools,
colleges and universities as may be useful for the general public,
• (e) To establish and operate clinics such as hospitals and health posts for public
purposes,
• (f) To protect natural, historical or cultural heritages or to promote such act,
• (g) To operate programs for the protection of wildlife, aquatic animals or
environment,
• (h) To operate programs for the protection of interest, welfare or upliftment of
various classes, groups or communities,
• (i) To operate programs relating to sports,
• (j) To carry out service-oriented welfare programs,
• (k) To operate rescue works,
• (l) To establish shrines, temples, monasteries, domes, mosques,
churches or carry out similar other religious activities,
• (m) To operate other public programs for the interest of public.
• (3) benefit, advantage or facility to any particular person or group
shall be deemed to be a private trust.
• (4) If a trust is established to accomplish both public and private
objectives, such a trust shall be deemed to be a public trust.
Rajguthi: Amanat + Chhut Guthi
• Under the Amanat system guthi functions are discharged under the
direct control and supervision of the government.
• Rajguthi which had been assigned to private indivuduals of a life time
or inheritable basis then came to be known as Chhut Guthi.
• Chhut Guthi system represented a compromise between individual
ownership and full-fledged state control of Guthi land endowments.
• It reconciled individuals control and operations with nominal
administrative authority the state.
Guthi Corporations Act, 2033
• Sec 2(e) “Chhut Guthi” means a Guthi which enjoys exemption so
that only the surplus of the Guthi after operating the worship, festival
etc. of the Guthi from income as per the deed of donation or royalty is
paid to the Rajguthi or the Guthi operators themselves are entitled to
the surplus, and by registering the Guthi in the records of Rajghthi
prior to the commencement of the Guthi Corporation Act, 2021
(1973) or requiring such registration and that the land revue or
taxation of such Guthi land as payable to the Government of Nepal
is exempted and that the trustees of the Guthi themselves are entitled
to operate and register the Guthi.
Duniya Guthi: Gharguthi + Institutional
Guthi
• Gharguthi endowments are endowments made within the family. They are
made for such purposes as the maintainance of prescribed rituals function
at a particular temple, the worship of the family diety or performance of
religious ceremonies on the anniversary of the donor’s death.
• The primary motives for their endometns was to prevent the alienation of
the lands endowed.
• In contrast Institutional Guthi are endowments made for some public
charity or religious functions.
• They are not primary indented to benefit the donor’s family and generally
have trustee known as Guthiyars, designed for their operations and
management
Guthi Land Tenure System
• Guthi land tenure emerged when surplus agricultural production or rent is
utilized for religious charitable purposes.
• A study of Guthi land tenure system therefore concerned with the
conditions under which rent receiving rights (Talsing Boti) are alienated
for the performance of religious and charitable functions.
• Relinquishment of title is complete and unqualified in the case of Guhti
land endowments made through a formal ritual gift with the intent of
acquiring religious merit.
• When a Guthi endowments has not been made through such a gift, the
donor and his successor are permitted to inherits the endowed lands and
appropriate the surplus income.
Forms of Land Under Guthi Corporations
Act, 2033
• "Guthi Raitan Numbari land (Guthi land registered in the name of
individual)" means a land the registration holder of which is required
to pay the land revenue (malpot) to the Corporation.
• "Guthi Numbari land (registered Guthi land)" means a land the
Corporation, in the capacity of the landowner, is required to pay the
land revenue to the Government of Nepal.
• "Guthi Tainathi land (Guthi owned land)" means a land which is not
registered in the name of any person and in which the Guthi
Corporation has exclusive right.
• "Guthi controlled land (Guthi Adhinastha land)" means a land the
registration holder of which has being paying in-kind to the
Corporation.
Khaikar Land System
• Khaikar land: It referred to the land registered under the name of a
single person and divided among and cultivated by other individuals
by paying the tax to its owner.
• Those who cultivate the land pay tax to the person under whose name
the land is registered. This land system came to an end when
cultivators became owners of the land on account of their having
cultivated the land, i.e. when they enjoyed their tenancy right.
• “Khaikar” system with regards to land usage, wherein the headman
owned (Jimidar) the land and leased it out to the people for usage.
• King Prithvi Narayan Shah also legitimized and gave recognition to
the local usage of laws to maintain harmony in the social and political
spheres.
• He collected revenue from them for their usage and submitted revenue
to the government.
• Impartial verdict in the event that revenue wasn’t paid could be given
only through an understanding of the Khaikar system; if registration
was lacking and there was a conflict regarding land use, a verdict that
favored the headman would be considered a mistake.
नेपाली बृहत शब्दकोश २०७५
• महाजन:
• १. ठूलो मानिस, प्रतिट्ठित व्यक्ति, प्रमुख ब्यक्ति,
• २. व्यापारी, सेठ, साहुकार, कोठीवाला,
• ३. मानिसहरुको समुह,
• ४. धनी मानिस
• महाजनी: व्याप्यार व्यबसाय, रुपियाँ पैसाको कारोबार
गर्ने पेसा
• Mahajani system was also in practice for short period of time in Rana
regime.
• In this system, the traders/merchants themselves could nominate an outsider
person to examine the merchandise and fix customs duty on goods.
• This type of inspection wouldn’t not take place in the customs office; but it
used to be in the factory of the respective businessmen.
• As there was a chance of losing the huge amount revenue, the policy was
changed then inspection was conducted only in the customs station.
• As Nepal was a main route for India Tibet trade in Rana period, customs
tariff was one of the main sources of the revenue for nation
The End