Building-plan sanction charges require statutory authority and,...

Building-plan sanction charges require statutory authority and, as regulatory fees, a reasonable correlation with services rendered. The development authority could exercise Municipal Commissioner powers only upon State notification, while its governing statute did not independently authorise scrutiny fee, ground rent or security deposit; those demands were quashed, subject to the pending writ appeal. Labour welfare cess remained payable, but requiring payment upfront before construction contravened the prescribed collection mechanism for construction extending beyond one year; a fresh demand had to follow Rule 4. Building-plan sanction involved neither a supply of goods nor services, so CGST and SGST on sanction charges were also quashed.