ASHOKATALKIES BADAGARA Vs. BADAGARA MUNICIPALITY BADAGARA

JUDGEMENT

(1.) These appeals are directed against the judgment and order of a Decision Bench of the Hight Court of Kerala reversing the judgment of a learned single judge allowing the writ petition filed by the appellants.

(2.) For the purpose of appreciating what is argued, Section 2(7) of the Local Authorities Entertainment Tax Act and Section 3 thereof, as they read at the relevant time, may be quoted, thus: 2(7) 'Payment for admission' includes -

(3.) General provisions regarding the levy of the tax and the rate of tax:- Any local authority may levy a tax (hereinafter referred to as the entertainment tax) at a rate not less than 10% and not more than 25% on each payment for admission to any entertainment." 3. Section 3 empowers the local authorities to levy a tax at a rate not less than 10% and not more than 25%. The rate was 20% until, by notification issued pursuant to a resolution of the Municipal Council, Tellicherry dated 31st May, 1969, it was enhanced to 25% with effect from 15th July, 1969.