INDIAN AIR FORCE EMPLOYEES UNION Vs. STATE OF MAHARASHTRA COMMISSIONER OF PROFESSION TAX UNION OF INDIA UOI

JUDGEMENT

(1.) THE petitioners are a Union registered under the Indian Trade Unions Act, 1926 and recognized by the Government of India. The Union, at the time of filing the petition, consisted of 450 members from Grade-C and Grade-D category i. e. equivalent to Class-III and Class-IV civilian employees working in 25-Equipment Depot, Air Force Station, South Deolali. The total strength of the staff at the said unit was about 700. The group-C and group-D employees are the industrial and non-industrial workers. Group C cadre consists of carpenters, clerks, motor drivers, painters, stores keepers etc. Group-D cadre consists of safaiwalas, watchman, cooks etc.

(2.) THE petitioners state that respondent No. 4 was and is deducting from the salaries and wages paid to the members of the said petitioner Union and other civilian working in the said equipment department a sum of Rs. 50/- per month in respect of Group-C worker and Rs. 30/per month in respect of group-D worker under Section 4 of the Maharashtra State Tax on Professions Trades, Callings and Employments Act, 1975 (Maharashtra Act No. 16 of 1975) (herein after referred to as 'the said Act' ).

(3.) IT is the contention of the petitioner Union that its members are not liable for any amount being deducted from their salaries and wages towards the tax under the said Act. It is contended that under Section 27 (a) of the said Act members of armed forces of the said Union serving in any part of the state are exempted from payment of the said Tax. It is pointed out by the petitioners that similar enactments exists in the State of West Bengal, Karnataka and Andhra Pradesh but in no other states, other than the said 4 States, viz. Maharashtra, Wet Bengal, Karnataka and Andhra Pradesh, there is any tax levied on professions, trades, callings or employment. It is the contention of the petitioner that employees in the All India services are not required to pay any tax on their employment nor are the petitioners liable to pay the same when they are posted on transfer out of Maharashtra. It is contended, relying on the decision of this Honourable Court in 1992 Maharashtra Law Journal 316, that Civilian defence personnel who can be ordered to render field services and follow army in certain situations mainly war time, are exempt from the liability to pay profession tax under the provisions of the said Act in view of the provisions regarding exemption under Section 27-A. 3. It is pointed out that despite the said legal position respondent No. 1 and 2 insisted on collecting professional tax from the employees working in the defence services at various places. This has resulted in a bunch of petitions filed in this High Court which were disposed of by common order dated 10. 1. 1994 (an unreported case ).