Karnataka High Court
Stree Samaja Middle School vs The State Of Karnataka on 10 July, 2023
Author: R Devdas
Bench: R Devdas
-1-
NC: 2023:KHC:23790
WP No. 2066 of 2023
IN THE HIGH COURT OF KARNATAKA AT BENGALURU
DATED THIS THE 10TH DAY OF JULY, 2023
BEFORE
THE HON'BLE MR JUSTICE R DEVDAS
WRIT PETITION NO. 2066 OF 2023 (LB-TAX)
BETWEEN:
STREE SAMAJA MIDDLE SCHOOL
ESTABLISHED AND RUN BY
SESHADRIPURAM EDUCATIONAL TRUST,
REGISTERED UNDER THE
INDIAN TRUST ACT 1962,
NO.27, NAGAPPA STREET,
BANGALORE-560020
REPRESENTED BY ITS HON-GEN.SECRETARY,
DR WOODAY P KRISHNA,
S/O LATE W H PUTTAIAH,
AGED ABOUT 59 YEARS.
...PETITIONER
Digitally signed (BY SRI. GOUTHAM A. R, ADVOCATE)
by JUANITA
THEJESWINI
Location: HIGH AND:
COURT OF
KARNATAKA
1. THE STATE OF KARNATAKA
REP BY ITS PRINCIPAL SECRETARY,
DEPARTMENT OF URBAN DEVELOPMENT,
M.S.BUILDING, DR AMBEDKAR ROAD,
BANGALORE-560001
2. BRUHAT BANGALORE MAHANAGARA PALIKE
REPRESENTED BY ITS COMMISSIONER,
N R SQUARE, BENGALURU
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NC: 2023:KHC:23790
WP No. 2066 of 2023
KARNATAKA-560002
3. ASSISTANT REVENUE OFFICER
BRUHAT BENGALURU MAHANAGARA PALIKE
GANDHINAGAR SUB DIVISION
BANGALORE-560053
...RESPONDENTS
(BY SRI. NITHYANANDA K.R., AGA FOR R1
SRI. B.V. MURALIDHAR, ADVOCATE FOR R2 & R3)
THIS WRIT PETITION IS FILED UNDER ARTICLE 226 OF
THE CONSTITUTION OF INDIA PRAYING TO DECLARE THAT
THE PRIVATE EDUCATIONAL INSTITUTIONS ESTABLISHED AND
ADMINISTERED WITHIN BRUHAT BANGALORE MAHANAGARA
PALIKE AREA ARE NOT LIABLE TO PAY PROPERTY TAX UNDER
THE BRUHAT BANGALORE MAHANAGARA PALIKE ACT 2020
AND ETC.,
THIS PETITION, COMING ON FOR PRELIMINARY HEARING
IN 'B' GROUP, THIS DAY, THE COURT MADE THE FOLLOWING:
ORDER
R.DEVDAS J., (ORAL):
The petitioner, an educational institution is before this Court aggrieved of the demand notice dated 18.01.2023 raised by the respondent-Bruhat Bengaluru Mahanagara Palike, seeking payment of property tax. The petitioner has also called in question the provisions -3- NC: 2023:KHC:23790 WP No. 2066 of 2023 contained in Section 152(1)(i)(b) of the Bruhat Bengaluru Mahanagara Palike Act, 2020 (hereinafter referred to as the 'BBMP Act' for short); Circular dated 29.03.2021 issued by the second respondent-Commissioner, BBMP etc.
2. It appears that the Karnataka Municipal Corporations Act, 1976 which was earlier governing the municipal area including the BBMP had a provision contained in Section 110 of the said Act, granting exemption from payment of property tax to educational institutions which were established for the purpose of education, recognized by the Government or local authority. However, on the enactment of the BBMP Act, 2020, such a provision was discontinued in the similar provision contained in Section 152 of the Act. Nevertheless, when many such institutions filed writ petitions before this Court and interim orders were passed by this Court, the State Government appears to have taken note of the same and amended the provisions -4- NC: 2023:KHC:23790 WP No. 2066 of 2023 contained in Section 152(1)(i)(b) of the BBMP Act, on 10.03.2023 substituting the provision re-introducing similar provisions that were earlier available in the Karnataka Municipal Corporations Act, 1976, to exempt such educational institutions from payment of property tax. In view of the same, all such writ petitions which were pending consideration before this Court were disposed of including the case of the Management Association of Schools, Karnataka and Another Vs. the State of Karnataka and Others in W.P.No.12954/2001 dated 17.04.2023. Learned Counsel for the respondent-BBMP submits that similar orders may be passed in this writ petition taking note of the amendment brought to the BBMP Act.
3. Consequently, this Court proceeds to pass the following order:
i) Writ petition is allowed. -5- NC: 2023:KHC:23790 WP No. 2066 of 2023 ii) The impugned demand notice dated 18.01.2023 at Annexure 'J' is hereby quashed and set aside. iii) In view of the amendment brought to Section 152(1)(i)(b) of BBMP Act, the Circular which has been issued on 29.03.2021 is also quashed.
Needless to observe that if the petitioner has deposited any amount before the BBMP or in terms of any interim orders that are passed by this Court, the same shall be adjusted to future tax payment due from the petitioner.
Ordered accordingly.
Sd/-
JUDGE JT/-