TaxTMI 
TaxTMI 
TaxTMI 
2015 (12) TMI 845
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....hra Pradesh Panchayat Raj Act, 1994 (hereinafter referred to as the 'Act'). Thus, identical relief was claimed in the two writ petitions and the occasion for filing two writ petitions was that the demand notices calling upon the IOC to pay the property tax related to four different years. Assessment Years 2000-01, 2001-02 and 2002-03 were covered by the demand notice dated 10.07.2002 and demand notice dated 12.06.2003 pertained to Assessment Year 2002-03. This was the reason for the High Court to dispose of the two writ petitions by the common decision. The High Court has, by reason of the said judgment, dismissed the writ petitions of the IOC holding that property tax is payable under the provisions of the aforesaid Act. 2. We may mention at the outset that though the impugned demand was challenged on number of grounds which, inter alia, included the ground that the demands were violative of the principles of natural justice as well as provisions of the Act itself, there was no challenge to the vires of any provision of the Act. The question that fell for consideration before the High Court, thus, was as to whether the aforesaid storage and water tanks could be termed as ....
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....11,380.60 for the Assessment Year 1998-99. However, this demand was revised on the representation by the IOC pointing out the mistake committed in the calculation of the property tax and was reduced to Rs. 7,14,393. The IOC paid the aforesaid amount of tax. 5. In the year 2001, IOC approached respondent No.1 for further reduction of property tax on the ground that LPG storage tanks consisting of Horton Sphere and 3 bullets cannot be taken into consideration for calculation of the tax as these structures do not answer the description of 'building' and 'house' as defined under the Act. Vide order dated 08.12.2001, this request of the IOC was rejected by respondent No.3. Thereafter, demands were made for other Assessment Years and representations of IOC against those demands were also rejected. This is how, challenging the said demands, the two writ petitions were filed by the IOC, as already noted earlier. 6. The case of the IOC was that the value of LPG storage tanks which amounts to Rs. 557 lakhs and the value of the water storage tanks which amounts to Rs. 35 lakhs, do not fall for levy of property tax. The LPG storage tanks are the sphere and bullets which are p....
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.... be a hut for the purposes of this Act; Section 60 - Taxes leviable by gram panchayats (1) A gram panchayat shall levy in the village, (a) a House-tax; (b) kolagaram, or katarusum that is to say, tax on the village produce sold in the village by weight measurement or number subject to such rules as may be prescribed; (c) such other tax as the Government may, by notification, direct any gram panchayat or class of gram panchayats to levy subject to such rules as may be prescribed; Provided that no such notification shall be issued and no such rule shall be made except with the previous approval of the Legislative Assembly of the State. (2) A duty shall also be levied on transfers of property situated in the area under the jurisdiction of the gram panchayat in accordance with the provisions of Section 69. (3) Subject to such rules as may be prescribed the gram panchayat may also levy in the village,- (i) a vehicle tax; (ii) a tax on agricultural land for a specific purpose; (iii) a land-cess at the rate of two naya paise in the rupee on the annual rental value of all occupied lands which are not occupied by or adjacent and appurtenant to, buildings; (i....
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....n (1) be paid by the owner within thirty days of the commencement of the year. It shall be levied at such rates as may be fixed by the gram panchayat, not being less than the minimum rates and not exceeding the maximum rates, prescribed in regard to the basis of levy adopted by the gram panchayat. (4) The Government may make rules providing for-- (i) the exemption of special classes of houses from the tax; (ii) the manner of ascertaining the annual or capital value of houses or the categories into which they fall for the purposes of taxation; (iii) the persons who shall be liable to pay the tax and the giving of notice of transfer of houses; (iv) the grant of exemptions from the tax on the ground of poverty; (v) the grant of vacancy and other remissions; and (vi) the circumstances in which, and the conditions subject to which houses constructed, reconstructed or demolished, or situated in areas included in, or excluded from the village, during any year, shall be liable or cease to be liable to the whole or any portion of the tax. (5) If the occupier of a house pays the housetax on behalf of the owner thereof, such occupier shall be entitled to recover the sa....
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....n all other kinds of buildings. In this process, it was argued that the structures in question, namely, LPG storage tanks may be 'building' but they are not 'house', as every building is not a house. It was argued that the term 'house' is to take its flavour from the purpose for which 'house' is used, namely, the one which is fit for human occupation as the definition of 'house' itself specifically provides. It was argued that storage tanks were not at all fit for human occupation and they could not even visited by the humans. It was submitted that these structures are pressure vessels in which no human being can enter or stay. It is only after a lapse of more than a few years that human beings enter these structures that too for the purpose of cleaning only. Similarly, water storage tanks are normally filled with water in case of emergencies and these tanks also cannot be inhabited by the human beings during their normal operation. These tanks can be cleaned after a lapse of few years only. 9. It is difficult to countenance the aforesaid submissions of the learned senior counsel for the appellant. As was rightly argued by the learned counse....