H SARVOTHAMA RAO Vs. REGIONAL TRANSPORT OFFICER HASSAN

JUDGEMENT

(1.) Petitioner is aggrieved by the order dated 19-9-1993 passed by the respondent-Deputy Commissioner for Transport under Section 15 of the Karnataka Motor Vehicles Taxation Act, 1957 (in short, 'the Act') whereby he has affirmed the demand of tax of Rs. 49,240/- in respect of Omni Bus bearing No. MEX 1768 raised against the petitioner.

(2.) The foundational facts are not in dispute. The bus in question had the seating capacity of 8 + 1. It is not in dispute that the petitioner purchased the vehicle on 10-6-1988 and his name was duly registered as owner under the provisions of the Act. Thereafter the tax was regularly paid up-till 31-8-1990. Since as per the provisions made by the Karnataka Act 14 of 1989 which came into force on 1-4-1989 tax was to be levied on floor area basis, petitioner was served with a notice for production of the vehicle so that the floor area may be measured. On receiving the said notice, petitioner sent a letter on 13-8-1990 informing therein that he has sold the bus under a sale deed executed by him. Whereupon he was communicated by the respondents that since the vehicle still stands in his name therefore he is liable to produce the vehicle for measurement. However, the other demands were made in the notice for the period from 1-4-1989 to 30-11-1990. But the petitioner instead of paying the taxes due, sent a legal notice on 19-9-1992 again intimating about the sale of the vehicle. Subsequently, on appeal, the learned Deputy Commissioner has upheld the levy of tax by referring to the provisions of Motor Vehicles Act, 1988 (in short, 'the Central Act') as also the Taxation Act on the ground that the petitioner being admittedly a registered owner in law he was liable to pay tax.

(3.) It is not in dispute that the petitioner had not taken any steps in terms of either Section 50(l)(a) of the Central Act or Rule 1KB) of the Karnataka Motor Vehicles Taxation Rules, 1957 for change of ownership. The said provisions read as under: