THE HON’BLE THE CHIEF JUSTICE SRI KALYAN JYOTI SENGUPTA AND THE HON’BLE SRI JUSTICE SANJAY KUMAR WRIT PETITION No. 21355 of 2002 DATED:7.8.2014 Between:
B. Rambabu, Hyderabad.
And The Joint Transport Commissioner & Secretary, Hyderabad and another.
… Petitioner ….Respondents THE HON’BLE THE CHIEF JUSTICE SRI KALYAN JYOTI SENGUPTA AND THE HON’BLE SRI JUSTICE SANJAY KUMAR
WRIT PETITION No. 21355 of 2002
ORDER : (per the Hon’ble the Chief Justice Sri Kalyan Jyoti Sengupta) By this writ petition the petitioner has challenged the demand notice dated 4.1.2002 issued by the 2nd respondent and the consequential order dated 12.6.2002 of the 1st respondent.
Going by the fact narrated and recorded in the impugned order passed by the Regional Transport Officer, RTA, Hyderabad (CZ), it appears that the petitioner is having vehicle bearing No. AP 09V 8055 and is plying the same on the strength of the temporary permits by paying prorate taxes. The tax sought to be levied pertains to stage carriage. It is settled law that if the law does not authorize to charge any tax under any description, it cannot be levied either directly or indirectly. According to us, this is sought to be done in indirect way. Almost an identical issue was dealt with by a Larger Bench of this Court in the case of L.
Royal Reddy and others vs. Government of Andhra Pradesh [1] and others .
In paragraph 15 of the report it is stated the legal position as follows:
“Section 3 of the A.P. Motor Vehicle Taxation Act, 1963 is the charging section, which provides for levy of tax on motor vehicles in the following manner:
3(1): The Government may by notification from time to time, direct that tax shall be levied on every Motor Vehicle used or kept for use, in a Public Place in the State;
3(2): The notification issued under sub-section (1) shall specify the class of motor vehicles on which, the rates for the periods at which, and the date from which, the tax shall be levied:
Provided that the rates of tax shall not exceed the maximum specified in Column (2) of the First Schedule in respect of the classes of motor vehicles fitted with pneumatic tyres specified in the corresponding entry in column (1) thereof; and one and a half times the said maximum in respect of such classes of motor vehicles as are fitted with non-pneumatic tyres.
Section 4 of the Act provides that tax has to be paid in advance and thereafter licence has to be granted. Section 5(1)(b) of the Act provides for punishment by way of fine for non-display of the licence on the Motor Vehicle. Section 6 of the Act provides for penalty for failure to pay the tax. Section 8 of the Act provides for seizure and detention of the Motor Vehicles in case of non-payment of tax. Section 9 of the Act provides for exemption, reduction or other modification of tax. Section 17 of the Act empowers the Government to amend the schedules to the Act.”
We respectfully follow the aforesaid view of the majority of the Judges of the Larger Bench. Therefore, we pass this order.
The writ petition is accordingly allowed.
The miscellaneous applications, if any pending, shall also stand closed. No costs.
K.J. SENGUPTA, CJ 7th August, 2014 pnb SANJAY KUMAR, J
[1] 2004 (2) ALD 225 (LB)