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Issues: (i) Whether motor graders, wheel loaders, vibratory rollers, pavers, excavators-cum-loaders and cranes used in construction activities fall within the definition of motor vehicle under the governing motor vehicle law and are liable to registration and tax under the State motor vehicle tax enactment; (ii) whether the exclusion for special type vehicles used only in factory or enclosed premises, or the exemption provisions and the later definition of construction equipment vehicle, protected the petitioners from levy.
Issue (i): Whether motor graders, wheel loaders, vibratory rollers, pavers, excavators-cum-loaders and cranes used in construction activities fall within the definition of motor vehicle under the governing motor vehicle law and are liable to registration and tax under the State motor vehicle tax enactment.
Analysis: The definition of motor vehicle under the parent motor vehicle statute covers mechanically propelled vehicles adapted for use upon roads and excludes only fixed-rail vehicles, vehicles of a special type adapted for use only in a factory or other enclosed premises, and very small engine-capacity vehicles. The machines in question were found to be capable of being moved on roads for the limited purpose of shifting from one work site to another and were not shown to be vehicles running on fixed rails. The earlier treatment of mobile cranes showed that equipment which is designed for road movement, even if principally used at work sites, is not outside the definition merely because its road use is incidental. The later statutory and regulatory classification of construction equipment vehicles also supported the conclusion that such machinery remains within the motor vehicle category when it is capable of on-road movement, even for short duration and limited purpose.
Conclusion: Yes. The machines were held to be motor vehicles or vehicles for the purposes of registration and tax, and the challenge to their taxability failed.
Issue (ii): Whether the exclusion for special type vehicles used only in factory or enclosed premises, or the exemption provisions and the later definition of construction equipment vehicle, protected the petitioners from levy.
Analysis: The exclusion was not accepted because the machines were not purely enclosed-premises equipment incapable of road travel; they were construction equipment vehicles that could be transported or driven on roads for work-site movement. No exemption under the tax statute was established, since the specific exemption for agricultural use did not apply and no other valid exemption was shown. The amendment defining construction equipment vehicle as a non-transport vehicle reinforced liability rather than exemption. The objection regarding commencement of the amendment failed because the notification had been published in the Gazette. A limited relief remained available only for refund of tax on non-user where a vehicle is actually at the work site and not intended to be used on roads.
Conclusion: No. The petitioners were not entitled to any general exemption from registration or tax, and the challenge to the levy failed.
Final Conclusion: The petitions were dismissed, the tax liability on the concerned machinery was upheld, and only the limited remedy relating to non-user refund and consequential release on partial compliance was left open.
Ratio Decidendi: Machinery designed for off-highway construction work but capable of road movement for shifting between sites remains a motor vehicle for tax and registration purposes unless it is shown to be a vehicle exclusively adapted for use only in a factory or other enclosed premises, or another specific statutory exemption applies.
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