Article 35A, which also denies property rights to a woman who marries a person from outside the state, has been challenged in the Supreme Court and the matter is still under its consideration.
"Grassroots democracy must get precedence than any other considerations, including security," the functionary said.
He also asserted that there were adequate number of security personnel in the state to provide protection to candidates.
The panchayat polls to elect 4,130 sarpanch, 29,719 panch and 1,145 ward commissioners are expected to be held later next month.
The issue of releasing around Rs 3,000 crore meant for the panchayats and Rs 1,300 crore meant for the urban bodies as awarded by the 14th Finance Commission to Jammu and Kashmir was also under consideration of the central government.
If the elections are not held, the entire amount of the development fund cannot be released to the state, a home ministry official said.
Referring to the security issues, the official said adequate protection will be given to each candidate and the Jammu and Kashmir administration has enough security personnel at its disposal.
Around 24,000 paramilitary personnel, who were deployed during the Amarnath Yatra, have been asked to stay on in the the state and they would be deployed for the panchayat and urban local bodies polls in addition to other available security personnel.
The election to the urban local bodies were last held in 2005 and to panchayats in 2011 after a long hiatus. There were a number of militant attacks on candidates before and after these polls.
The polls to the local bodies were supposed to be held in 2016 but could not be conducted due to the five-month-long unrest in the Kashmir Valley following the killing of Hizbul Mujahideen militant Burhan Wani on July 8 that year.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)