Section 4. Cities, towns and districts may incur debt in any fiscal year for temporary loans in anticipation of the revenue of the fiscal year in which the debt is incurred, and may issue notes therefor to an amount which for cities and towns shall not exceed in the aggregate the total tax levy of the fiscal year preceding the fiscal year in which the debt is incurred, together with the net amount received during such preceding fiscal year from the excise on motor vehicles and trailers, as provided by chapter sixty A, and the payments made by the commonwealth in lieu of taxes on account of property taken for institutions or for metropolitan district purposes; and for districts shall not exceed the receipts from taxes, rates and services of the fiscal year preceding that in which the debt is incurred, and for newly established districts which have not yet had receipts from taxes, rates and services throughout an entire fiscal year, an amount as fixed by vote of the district. The aggregate amount of such notes shall not exceed an amount reasonably required, which amount, in the case of notes of a town or district, shall be approved by the director or by counsel and shown on an estimated cash flow statement prepared on a form approved by the director, by such other evidence as the director or counsel may require, and filed with the treasurer of the town or district and the director. Such notes shall be payable, and shall be paid, not later than one year from their date and said one-year term may occur within the span of two separate fiscal years. Such notes shall not be renewed or paid by the issue of new notes, except as provided in section seventeen. Notes may be authorized and issued under this section by the treasurer of the city, town or district, with the approval of the officer, committee, board or other body required by law to countersign such notes.