TaxTMI 
TaxTMI 
2011 (7) TMI 1122
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.... 562 of 2010 WRIT TAX No. - 967 of 2010 WRIT TAX No. - 968 of 2010 WRIT TAX No. - 1023 of 2010 WRIT TAX No. - 817 of 2010 WRIT TAX No. - 656 of 2010 ORDER We have heard Sri Neeraj Sharma, learned counsel for the petitioners. Sri Jafar Naiyar assisted by Sri S.P. Kesarwani appears for the respondents. By these writ petitions, the petitioners-public limited companies have challenged the notification dated 9th March 2007 by U.P. Excise (Establishment of Distillery) (7th Amendment) Rules, 2007 by which the rates of overtime fee to be paid to the staff of excise department of the State of U.P. stationed at the distillery run by the company; for Excise Inspector @ Rs. 4/- per hour; for @ Clerks Re. 1/- per hour and for Excise Cons....
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....Modern Breweries Vs. State of Jammu and Kashmir (2007) 6 SCC 317 in which the Supreme Court quashed the notification and directed for refund of fees for the reasons given in paragraph 34 as follows:- "34. For the reasons afore-stated we hold that: "(a) Rule 17 has no statutory backing and it is in excess of the Act. (b) It is manifestly unjust and arbitrary. (c) Provision of Rule 17 is clearly a tax and not a fee. (d) Imposition of Tax or fee on the citizens for the services that the State renders to itself and not the tax payers is clearly impermissible, arbitrary and unjustifiable." The principle on which the supervision charges or administrative charges have been imposed are laid down in Gupta Modern Braveries (supra) f....
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....: (a) regulating the manufacture, supply, storage or sale of any [intoxicant] including- (i) the erection, alteration, repair, inspection, supervision, management and control of any place for the manufacture, supply storage or sale of such article and the fitting, implements and fittings, implements and apparatus to be maintained therein; (ii) the cultivation of the hemp plant (cannabis sativa); (iii) the collection of portions of the hemp plant (cannavis Sativa) from which any intoxicating drug can be manufactured and the manufacture of any intoxicating drug therefrom; (b) regulating the deposit of any [intoxicant] in a warehouse and the removal of any [intoxicant] from any such warehouse or from any distillery [brewery or m....
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.... quantity in excess of or below which any [intoxicant] shall not be sold or supplied, and of the quantity in excess of which denatured spirit shall not be possessed, and the prescription of a standard of quality for any [intoxicant]; (iv) the prohibition of sale except for cash; (v) the fixing of the days and hours during which any licensed premises may or may not be kept open, and the closure of such premises on special occasions; (vi) the specification of the nature of the premises in which any [intoxicant] may be sold and the notices to be exposed at such premises; (vii) the form of accounts to be maintained and the returns to be submitted by license-holders; and (viii) the regulation of the transfer of licenses; (f) (i....
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....y be allowed if the distilleries themselves close down on special grounds with the sanction of the Excise Commissioner. In case, the Excise staff stationed at distillery is required to attend the distillery on any of the such holidays or in night, the distillers shall be required to pay to Government an amount, per hour or part thereof which shall not less than 15 minutes, equal to four times of average salary of the employee concerned. But such amount will be only two times of average salary of the employees concerned on overtime done during day time of working days. The distillery may avail the services of the staff on holidays or in additional time only on deposition of amount due in the head "0039 State Excise other receipts". ....
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....e Excise Commissioner. It is on the request of the distiller that over time is permitted for extra production. The request has to be followed by the cost of such overtime work by the staff of the Excise Commissioner. In the written argument filed by the learned Standing counsel the details of the working of the distiller are given. The option under Rule 12 has to be exercised by the licensee at such stages of the process of liquor in distillery, voluntarily at the place where the liquor is received from blend vats and is filled in bottle and where the bottle of liquor gets ready for issue. The licence is issued for not more than a period of one year. The distiller is free to take work from the workers under Rule 11 for 8 hours a day. Whe....