The petitioners in these writ petitions challenge the property tax assessments made on buildings owned by them, by the respondent Grama Panchayat. According to the petitioners, the building tax has been revised about 60 times the existing tax, without any justification. Various allegations regarding non compliance of the mandatory provisions for completing the assessment are also raised. According to the petitioners, this is a case in which, the Panchayat has without any rhyme or reason enhanced the property tax that too in so far as it relates to factories and other buildings within the Panchayat area. The quantum of increase made has even rendered the statutory appellate provision illusory. This is for the reason that, as a condition for maintaining a statutory appeal, the petitioner is liable to pay the tax due for the first half year. There is no provision for return of such amount paid. The same can only be adjusted towards future tax payable by the petitioners. As a result, the petitioners are under threat of being penalised with a valid levy.
2. I have heard Adv.Sri.B.N.Shiv Shanker who appears for the petitioners. Rule 16 of the Kerala Panchayat Raj (Property Tax, Service Tax and Surcharge) Rules 2011 provides a right of appeal W.P.(C) No.26176 & 26180 of 2014 2 against the impugned demands to the Standing Committee for Taxation and Finance of the respondent Panchayat. However, such appeal can be maintained only upon payment of the tax for the half year. In view of the steep enhancement, it is contended that the petitioners are not in a position to invoke the statutory remedy.
3. Having heard the learned counsel appearing for the respondent, I am not satisfied that the petitioners are entitled to invoke the extraordinary jurisdiction of this Court under Article 226 of the Constitution, without exhausting the statutory appellate remedy. However, in view of the steep enhancement in property tax that has been made, it is necessary in the interests of justice to provide some respite to the petitioners, without which, the statutory remedy itself would become illusory and nugatory. Therefore, in the peculiar circumstances of the present case it is necessary to issue appropriate directions to entertain the appeal filed by the petitioners on payment of property tax at the pre-enhancement rates.
This writ petition is therefore disposed of, relegating the petitioners to the statutory remedy of appeal provided by the Rule 16 of the Rules. If the appeal is filed within the statutory time limit stipulated, accompanied by the half yearly tax due from the petitioners at the pre-enhancement rates, the appellate authority under Rule 16 of the Rules shall entertain the appeals, consider the W.P.(C) No.26176 & 26180 of 2014 3 contentions of the petitioners and shall pass final orders thereon, on the merits.
These writ petitions are disposed of as above.
Sd/-
K.SURENDRA MOHAN, JUDGE.
AV