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Arrears of rent.
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19.—(1) In the case of every holding to which this Act applies rent and arrears of rent accrued due up to and including the gale day next preceding the date of the passing of this Act shall not be payable by the tenant and no proceedings against the tenant for recovery of arrears of rent shall be begun, continued or enforced after the passing of this Act.
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There shall be payable by the tenant to the Land Commission a sum hereinafter referred to as “compounded arrears of rent” ascertained as provided in the sub-section following.
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(2) Compounded arrears of rent shall be a sum equivalent to the total rent and arrears of rent due on the gale day next preceding the passing of this Act in respect of rent accrued since the first gale day in the year 1920 less a deduction of 25 per cent.: Provided that any payments made by the tenant after the second gale day in the year 1920 shall be appropriated to the rent which accrued since the first gale day in that year. In any case where a hanging gale is customary any payment of rent shall be deemed to have been made in respect of the gale next after the gale in respect of which it was actually made.
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(3) Compounded arrears of rent shall be payable, as to so much thereof as does not exceed 75 per cent. of the annual rent, immediately after the date of the passing of this Act and as to the balance, if any, on such date or dates before the appointed day as may be prescribed by the Land Commission: Provided that in any case where not less than three years' arrears are due and the tenant so requests in the prescribed manner one half-year's compounded arrears of rent shall be added to the purchase money and repaid by means of a purchase annuity calculated at the rate of 4¾ per cent. on the amount thereof added to and consolidated with the standard purchase annuity for the holding.
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(4) Compounded arrears of rent shall be collected and accounted for to the person or persons entitled thereto by the Land Commission in accordance with rules made by them: Provided that the Land Commission shall when paying over the amount collected first deduct therefrom income tax and such sum to go towards costs of collection as the Land Commission consider reasonable and proper.
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(5) Where any money has been levied or recovered by a landlord after the 28th day of May, 1923, under or in consequence of any judgment or decree in any proceedings against the tenant of a holding to which this Act applies for the recovery of rent or in ejectment, then—
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(a) if such money shall have been levied or recovered prior to the 3rd day of July, 1923, and so much thereof as consisted of rent exceeds the sum to which compounded arrears of rent would have otherwise amounted; or
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(b) if such money shall have been so levied or recovered on or after the 3rd day of July, 1923, and the entire amount thereof (including rent, costs and expenses) exceeds the sum to which compounded arrears of rent would have otherwise amounted;
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the difference between such rent or such entire amount (including rent, costs and expenses) as the case may be and the sum to which compounded arrears of rent would have otherwise amounted shall be set off against the moneys to become payable by the tenant in lieu of rent as hereinafter provided and the equivalent payment by the Land Commission shall be proportionately reduced.
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