Andhra Pradesh High Court - Amravati
M/S. Tarachand Logistic Solutions ... vs The State Of Andhra Pradesh on 26 April, 2022
Author: R.Raghunandan Rao
Bench: R.Raghunandan Rao
THE HON'BLE SRI JUSTICE R.RAGHUNANDAN RAO
WRIT PETITION No.6206 of 2022
ORDER:-
The petitioner is the owner of various motor vehicles which are being used as heavy lifting equipment in the property of the Visakhapatnam Steel Plant, operated by M/s.Rashtriya Ispat Nigam Limited.
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2. It is the case of the petitioner that these vehicles do not move out of the area of the Visakhapatnam Steel Plant and are never used on the road on account of the fact that the said vehicles are used for handling and storage of iron and steel material in the Central Discharge Yard of this steel plant, under the contract dated 17.11.2020. It is the further case of the petitioner that these motor vehicles are not being plied on the public road and are not even kept for use on the public roads since 01.04.2021. On account of this non-use of public roads, the petitioner had stopped payment of tax from the quarter ending 01.04.2021.
3. Thereafter, the respondents had issued vehicle check reports in relation to the vehicles owned and operated by the petitioner, for an amount of Rs.22,71,700/- towards tax penalty and compounding fee. The petitioner is said to have paid the amounts demanded, under protest. The petitioner has approached this Court, by way of the present writ petition, 2 seeking refund of the amounts paid and for protection against further demands.
4. The case of the petitioner is that tax can be levied on a vehicle in the State of Andhra Pradesh, if such a vehicle is used or is kept for use on public roads. As the vehicles of the petitioner are neither used nor kept for use on public roads in the State of Andhra Pradesh, tax cannot be levied on such vehicles.
5. The learned Government Pleader, on the basis of the written instructions of the Regional Transport Officer, Gajuwaka in letter No.24/A5/2022, dated 24.04.2022, submits that the petitioner ought to have filed an application under Rule 12-A, for grant of exemption of payment of tax. As no said application has been filed, the petitioner is not entitled for any exemption of tax. As the petitioner has also not paid any tax since 01.04.2021, the vehicle check reports were issued and the tax penalty and compounding fee demanded under the said vehicle check reports were also collected from the petitioner.
6. It is the contention of the petitioner that these amounts were paid under protest and subsequently, the petitioner has moved this Court for refund of the said amount and for exemption from payment of further tax.
7. The petitioner also relies on the representationd dated 07.12.2020 and 05.10.2021 given to the R.T.O, Gajuwaka for exemption from payment.
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8. This Court had and on an earlier occasion considered the question of whether exemption can be granted only upon an application under Rule 12-A of the Motor Vehicle Taxation Rules and had held in the negative. (see W.P.No.13780 of 2020 dated 01.09.2021)
9. Following the said Judgment, it would have to be held that the petitioner is entitled to demonstrate, de-hors an application under Rule 12-A, that the vehicles of the petitioner have neither been used nor kept for use on public roads in the State of Andhra Pradesh. The petitioner can do so in any form known to law and in any manner in which the said facts can be demonstrated.
10. In the circumstances, the contention of the respondents that grant of exemption can be done only under Rule 12-A has to be rejected and the petitioner has to be given an opportunity of demonstrating that the vehicles have not been used on the public roads nor kept for use on the public roads.
11. Accordingly, the writ petition is disposed of with a direction to the respondents to consider the representations of the petitioner dated 07.12.2020 and 05.10.2021 for grant of exemption from payment of tax. Needless to say, the 2nd respondent shall also permit the petitioner to produce all such material or evidence necessary to demonstrate that the vehicles of the petitioner have not been use or kept for use on 4 the public roads in the State of Andhra Pradesh and shall pass an order, setting out reasons, after due opportunity of hearing being given to the petitioner.
13. Thereupon, the respondents shall either refund or retain the amounts collected from the petitioner in accordance with the orders passed by the 2nd respondent. The said exercise is to be completed, within a period of eight weeks from the date of receipt of this order. No coercive steps shall be taken against the petitioner pending disposal of the said representations. There shall be no order as to costs.
Miscellaneous petitions, pending if any, shall stand closed.
___________________________________ JUSTICE R.RAGHUNANDAN RAO Date : 26-04-2022 RJS 5 THE HON'BLE SRI JUSTICE R.RAGHUNANDAN RAO WRIT PETITION No.6206 of 2022 Date : 26.04.2022 RJS 6