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Madras High Court

Sri Kalaimagal Matriculation School vs The State Of Tamil Nadu on 16 December, 2019

Author: C.Saravanan

Bench: C.Saravanan

                                                                        W.P.No.37024 of 2016

                                 IN THE HIGH COURT OF JUDICATURE AT MADRAS

                                               DATED: 16.12.2019

                                                     CORAM:

                                  THE HONOURABLE MR.JUSTICE C.SARAVANAN

                                             W.P.No.37024 of 2016
                                                     and
                                            W.M.P.No.31833 of 2016

                 Sri Kalaimagal Matriculation School,
                 Formerly DGR Matriculation School,
                 Rep by its Correspondent,
                 Mrs.P.Ranganayaki, Pattammal Chavadi,
                 Kaveri Pakkam, Vellore District.                      ... Petitioner

                                                           Vs.

                 1.The State of Tamil Nadu,
                   Rep by its Secretary,
                   Rural Development and
                            Local Administrative Department,
                   Fort St.George,
                   Chennai – 600 009.

                 2.The Director of Town Panchayat,
                   Chepauk,
                   Chennai – 600 005.

                 3.Assistant Director of Town Panchayat,
                   Collectorate Building,
                   Sathuvachavadi,
                   Vellore – 9.

                 4.The Commissioner,
                   Kaveripakkam Town Panchayat,
                   Kaveripakkam Town Panchaya,
                   Vellore District.                                  ... Respondents

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http://www.judis.nic.in
                                                                                    W.P.No.37024 of 2016

                 Prayer: Writ Petition is filed under article 226 of the Constitution of India, writ of
                 Certiorarified Mandamus, calling for the entire records pertaining to the demand
                 notice in MF.No.251 dated 20.09.2016 issued by the 4th respondent and quash the
                 same and forbearing the respondents form demanding property tax for the
                 petitioner's Sri Kalaimagal Matriculation School formerly DGR Matriculation Schhol.


                                        For Petitioner      : Mr.K.Mohanamurali

                                        For Respondents     : Mr.R.P.Prathap Singh
                                                              Government Advocate
                                                              for R1 to R3
                                                              Mr.V.Durai Solaimalai
                                                              for R4

                                                         ORDER

(A) Heard the learned counsel for the petitioner and the respondents.

2.The petitioner has challenged the impugned notice of the demand dated 20.09.2016 for property tax for the period commencing from first half year of 2006-2007 to the second half year of 2016-2017. The learned counsel for the petitioner submits that the petitioner is an educational institutions and is exempted from payment of property tax in terms of Rule 15 of the Tamil Nadu Village Panchayat (Assessment and Collection of Taxes) Rules, 1999. The learned counsel for the petitioner has relied on the decision of this Court in W.P.No.1355 of 2005 in a batch of Writ Petitions on 09.03.2009. Rule 15 of the said rules reads as under:-

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15. Exemption of specified classes of houses from house tax:
The following buildings shall, if they fall within the meaning of the house as defined in the Act, the exempt from the house tax –
a) buildings set apart for public worship and either actually so used or used for no other purpose;
b) choultries for the occupation of which no rent is charged and choultries where the rent charged for the occupation is used exclusively for charitable purposes.

c ) buildings used for educational purposes including hostels and libraries which are open to the public, and public buildings used for charitable purpose of sheltering the destitutes or animals;

d) such ancient monuments protected under the Ancient Monuments Preservation Act, 14. TAXES 371 1904, or parts thereof, as are not used as residential quarters or as public offices;

e) charitable hospitals and dispensaries and other buildings exclusively used for charitable purposes f ) such hospitals and dispensaries maintained by Railway Administration as may, from time to time, be notified by the Government;

g) buildings belonging to Village Panchayats;

h) buildings of the Forest Department situated with in the forest area which are within the jurisdiction of a Village Panchayat;

i) light houses; j) all cattle pounds maintained by the Revenue Department; and

k) cyclone shelters;

Provided that nothing contained in clauses (a) and (c) shall be deemed to exempt from house-tax, if any building for which rent is payable by the person or persons using the same for the purposes referred to in the said clauses:

Provided further that educational institution (not 3/6 http://www.judis.nic.in W.P.No.37024 of 2016 commercial in nature) exempted from levy of house-tax, immediately before commencement of the Act shall continue to be exempted under under the said Act. Explanation - The exemption granted under this Rule shall not extend to residential quarters attached to schools or colleges not being the hostels or residential quarters attached to hospitals, dispensaries and libraries.” (B) The said amendment reads as under:-
(c) buildings used for educational purposes including hostels and libraries run by the Government or local bodies and institutions aided by the Government and public buildings used for charitable purpose of sheltering the destitutes or animals”

3.The said amendment was gazetted on 05.03.2008. Therefore, the petitioner was exempted only up to 04.03.2008. The petitioner therefore partially succeeds in so far as the demand for the property tax concerned for the period prior to the aforesaid date. Consequently, the Writ petition is remitted for proper assessment for the period after 05.03.2008.

4.The issues relating to the valuation is left open to be decided in an appropriate proceedings in accordance with law. Till such orders are passed, the petitioner shall continue to pay house tax as assessed and demanded.

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http://www.judis.nic.in W.P.No.37024 of 2016

5.Accordingly, the writ petition is disposed of. No costs. Consequently, connected miscellaneous petition is closed.

16.12.2019 Index : Yes / No Internet : Yes/ No jas To

1.The Secretary, Rural Development and Local Administrative Department, Fort St.George, Chennai – 600 009.

2.The Director of Town Panchayat, Chepauk, Chennai – 600 005.

3.The Assistant Director of Town Panchayat, Collectorate Building, Sathuvachavadi, Vellore – 9.

4.The Commissioner, Kaveripakkam Town Panchayat, Kaveripakkam Town Panchaya, Vellore District.

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http://www.judis.nic.in W.P.No.37024 of 2016 C.SARAVANAN, J.

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