REGIONAL TRANSPORT OFFICER Vs. BHASKAR SALIAN

JUDGEMENT

(1.) The question that has come up for consideration in these cases is whether interstate stage carriage permit holders are liable to pay tax for standing passengers.

(2.) Petitioners in the Original Petitions are inter-state stage carriage permit holders. Petitioner in O.P. No. 23838 of 2000 is the registered owner of stage carriage vehicle KA.19/4955 and holder of inter-state stage carriage permit on the route Mangalore-Kasargode. Permit was issued by the State Transport Authority, Karnataka and the permit was duly countersigned by the State Transport Authority, Kerala. First respondent issued demand notice on 3.7.2000 demanding arrears of tax to the tune of Rs. 8,640/- being the tax on the standing passengers for the period from April 1994 to March 1995 and from April 1995 to March 1996. Petitioner challenges the said demand on the ground that the permit issued to him does not permit carrying of standing passengers. Further it may also be stated that in the permit granted by the State Transport Authority, Karnataka and countersigned by the second respondent seating capacity shown is 48 with one driver and one conductor and the permit does not permit carrying of standing passengers. Therefore the demand, according to the petitioner, is unauthorised and illegal. Learned single Judge found favour with the contention of the petitioners and allowed the Writ Petitions and held that demand for tax is without the authority of law. Aggrieved by the same, Regional Transport Officer and others have come up in these appeals.

(3.) We heard Sri Georgekutty Mathew, Special Government Pleader for Taxes for the appellants and Sri C.S. Manu and others for respondents.