G.S.A.Narasimham & Anr. v. The Greater Municipal Corporation, Visakhapatnam

THE HONOURABLE SRI JUSTICE GODA RAGHURAM AND THE HONOURABLE SRI JUSTICE RAMESH RANGANATHAN W.P.NO.21810 OF 2008 ORAL ORDER: (Per RR,J) Heard Sri K.A.Narasimham, learned counsel for the petitioner and Sri N.Ranga Reddy, learned Standing Counsel for the respondent-Greater Visakhapatnam Municipal Corporation and at their request the writ petition is disposed of at the stage of admission. The first petitioner is a registered society and the second petitioner is the Head Master of one of the schools run by the first petitioner-society. The first petitioner, a society registered under the Societies Registration Act,1860 with registration No.6/62, claims to have established several educational institutions in Srikakulam, Vizianagaram, Visakhapatnam, East Godavari and West Godavari Districts. The educational institution, of which the second petitioner is the Head-Master, was granted recognition by the District Educational Officer, Visakhapatnam by proceedings dated

10.07.2006. The first petitioner filed a representation before the respondent on 12-03-2008 seeking exemption from property tax on the ground that it was a non-profit teaching institution. This representation is said to have been received by the respondent. As no reply was forthcoming, the first petitioner again submitted another representation on 18-07-2008, which was also not responded to. Sri K.A.Narasimham, learned counsel for the petitioner, would draw attention of this Court to Section 202(1)(bb) of the Greater Hyderabad Municipal Corporation Act,1955, (which has been adopted under the Andhra Pradesh Municipal Corporations Act, 1994), whereunder educational institutions upto X class, the buildings of which are donated by charitable institutions or philanthropists, are exempted from payment of property tax. Learned counsel would contend that, since the second petitioner is an educational institution whose buildings have been donated by charitable institutions or philanthropists and is permitted to conduct Classes upto X Class, it is entitled for exemption under Section 202 (1) (bb) of the Act.

The respondent issued notice dated 21-12-2007 calling upon the petitioner to pay property tax of Rs.18,492/- which comprises of house tax of Rs.16,212/- and water tax of Rs2,280/-. Under Section 199(1) of the Act, the following taxes shall, subject to exemptions, limitations and conditions therein provided, be levied on buildings and lands:- (a) a general tax; (b) a water tax; (c) a drainage tax; (d) a lighting tax; and (e) a conservancy tax. What is exempted under Section 202 of the Act is only general tax. As such, even if exemption is granted, the petitioners are liable to pay all taxes other than the general tax. Even with regards general tax, it is only if they are held entitled for exemption under Section 202(1)(bb) would they not be liable to pay such a tax. Since the petitioners have already submitted an application, followed by a reminder, seeking exemption from payment of general tax, ends of justice would be met if the writ petition is disposed of directing the respondent to consider the representations in accordance with law and pass appropriate orders within a period of two months from the date of receipt of a copy of the order. Till final orders are passed on the petitioners’ applications, no general tax shall be levied. The writ petition is, accordingly, disposed of at the stage of admission. No order as to costs. ______________ GODA RAGHURAM,J __________________ RAMESH RANGANATHAN,J 10th NOVEMBER 2009. TSNR