SARAYA DISTILLERY Vs. PASSANGER TAX OFFICER GORAKHPUR

JUDGEMENT

(1.) THIS petition is covered by a decision of the Supreme Court reported in M/s. Tata Engineering Locomotive Co Ltd. v. Sales Tax Officer and Regional Transport Officer, AIR 1979 SC 343. The learned Standing Counsel also does not dispute the position that the ratio of the Supreme Court decision in that case concludes that controversy which have been raised by the petitioner in this case.

(2.) THE petitioners run a distillary at Sardar Nagar Gorakhpur. THEy had taken a permit of stage carriage type Metador bearing registration no. UHW 233. THE permit was initially granted in the year 1984 and the same was renewed from time to time for the purpose of providing conveyance to its employees and childern. THE petitioner had acquired the aforesaid vehicle for the transport of its employees and the childern. In the permit which was granted to the petitioner, it was specifically mentioned that the vehicle shall be used for the transport of the petitioner's employees and their childern and that it shall not be used for carrying passengers on hire. THEse facts have not been disputed by the respondents.

(3.) PASSENGER Tax in this State is levied under Section 3 of the U. P. Motor Gadi (Yatri Kar) Adhiniyam 1962 which provides that every passenger carried by stage carriage shall be liable to pay passenger tax at a rate equivalent to 5 percent of the fare payable by such passengers to the operator of the stage carriage in respect of the journey in the State. It will thus be seen that in order to attract this tax it will have to be shown that the passenger was travelling in a stage carriage. The term 'stage carriage' has been defined as a 'motor vehcile carrying or adapted to carry more than six passengers (including the driver), and which carries passengers for hire or reward, at separate fares paid by or for individual passengers, either for the whole journey or for stages of the journey and includes any omnibus when used as contract carriage'.