RAI VIMAL KRISHNA Vs. STATE OF BIHAR

JUDGEMENT

(1.) This case relates to the assessment of the appellants holdings in Patna under the Patna Municipal Corporation Act, 1951 (hereinafter referred to as the Act).

(2.) A brief survey of the relevant provisions of the Act is necessary before considering the facts of the case since the appellants grievances are that the provisions of the Act have not been followed in assessing the appellants properties to tax.

(3.) The Act, which came into force on 15th August, 1952 was passed to consolidate and amend the law relating to the municipal affairs of the town and suburbs of Patna. Section 123 of the Act allows the Corporation, with the previous approval of the State Government to impose various taxes and fees. We are concerned with clauses (a), (b) and (c) of Section 123 which provide for the imposition of property tax, water tax and latrine tax on holdings situated within Patna-the tax being assessed on the annual letting value. Section 130 provides that the annual value of a holding shall be deemed to be the gross annual rental at which the holding may reasonably be expected to let. This however is subject to the rules that may be prescribed by the State Government. Any tax which is assessed on the annual value of a holding other than the latrine tax or drainage tax, is payable by the owner of the holding within the Corporation. The latrine or drainage tax is payable by the persons in actual occupation of such holdings. (Section 132(1), (2).