HIGH COURT OF JUDICATURE AT HYDERABAD FOR THE STATE OF TELANGANA AND THE STATE OF ANDHRA PRADESH PRESENT THE HON’BLE THE CHIEF JUSTICE SRI KALYAN JYOTI SENGUPTA AND THE HON’BLE SRI JUSTICE M.S.RAMACHANDRA RAO
WRIT PETITION No.1711 OF 1997
DATED: 17.12.2014 Between:
Sree Mullapudi Timma Raju Memorial … Petitioner And Regional Director cum Appellate Commissioner and others … Respondents THE HON’BLE THE CHIEF JUSTICE SRI KALYAN JYOTI SENGUPTA AND THE HON’BLE SRI JUSTICE M.S.RAMACHANDRA RAO
WRIT PETITION No.1711 of 1997
ORDER: (per the Hon’ble The Chief Justice Sri Kalyan Jyoti Sengupta)
This Writ Petition has been filed to assail order, dated 23.08.1996 passed by the Appellate Commissioner, Municipal Administration, Rajahmundry.
The petitioner’s contention in this Writ Petition is that the municipal authority by the impugned order imposed property tax, so to say, on vacant land wherein the building was under construction. According to the petitioner, unless the construction of building is completed, no property tax can be levied treating the same as vacant.
No one appears for the respondents to oppose this application.
We have looked at the impugned order. While doing so, we notice that the appellate authority applied the provision under Section 85(3) of the Andhra Pradesh Municipalities Act, 1965 (hereinafter referred as ‘the Act’).
The learned counsel for the petitioner says that on identical legal provision, a Division Bench of this Court has rendered a decision in relation to the property tax levied under Hyderabad Municipal Corporation Act, 1955.
Before we go to the cited decision, we have to check up whether appropriate provision of law has been applied in this case or not.
Section 85 (3) (a) of the Act reads as follows:
“Save as otherwise provided in clause (b), the council shall, in the case of lands which are not used exclusively for agricultural purposes and are not occupied by, or adjacent and appurtenant to building, levy these taxes, at such percentages of the capital value of the lands or at such rates with reference to the extent of the lands as may be fixed by the council.”
The aforesaid Section is a charging Section. It is mentioned in sub-section (1) of Section 85 of the Act that property tax shall be levied on all buildings and lands. Therefore, it is clear that property tax can be levied not only on the buildings, but also on the vacant land, if it is found that there is no agricultural activity therein.
It appears that the authority concerned has decided the matter applying above law. We do not find any flaw in the impugned order. The judgment referred to by the learned counsel for the petitioner is wholly inapplicable as it was decided while considering similar provisions of law and moreover, the subsequent amendment undergone in the statute was not taken into consideration by the Division Bench while rendering the decision.
We therefore dismiss the Writ Petition. No order as to costs.
Consequently, pending miscellaneous petitions, if any, shall stand closed.
17th DECEMBER, 2014.
K.J. SENGUPTA, CJ M.S.RAMACHANDRA RAO, J kvni