KAILASH NARAYAN RAI Vs. STATE OF MADHYA PRADESH

JUDGEMENT

(1.) The factual matrix and the grounds of law raised being common in this batch of writ petitions, it was heard analogously and is disposed of by this singular order. For the sake of clarity and convenience, the facts in W. P. 4739/2000 are adumbrated herein.

(2.) The facts as have been uncurtained are that the petitioners are holders of stage carriage permit and plying their vehicles in various routes. Section 3, M. P. Motoryan Karadhan Adhiniyam, 1991 (hereinafter referred to as 'the Adhiniyam') provides that there shall be levy of tax on every motor vehicle used or kept for use in the State as per the rate specified in the Schedule. Section 5 of the said Adhiniyam stipulates the tax is required to be paid in advance by the owner of the motor vehicles as prescribed under the said provisions. Section 5 provides for filing of declaration and determination of tax payable. In the first schedule of the Adhiniyam tax is provided for vehicles permitted to carry more than six passengers. The vehicles have been categorized into certain categories, namely, Reserved Stage Carriage, Contract Carriage and Stage Carriages. It is putforth that Section 23 of the Adhiniyam empowers the State Government to amend the rate of tax specified in the Schedule after following certain procedure and thereafter the said Schedule stands amended. As per the said provision, the rate of tax shall not be increased by more than 50 per cent of the rate specified in the Schedule.

(3.) According to the writ petitioners, the State Government has amended the Schedule beyond 50 per cent which is contrary to the mandate of the statute. It is also set forth that such increase of rate of tax approximately by 100 per cent is arbitrary and is violative of Articles 14 and 19(1 Kg) of the Constitution of India. It is also urged that the enhancing of the rate is discriminatory. It is averred that under the first Schedule, the minimum rate of tax for the stage carriage is Rs. 115/- per seat per month if the vehicle covers the distance up to 80 kms. The total tax for 50 seaters stage carriage comes to Rs. 5.750/- per month if the stage carriage is plied up to 80 kms. but it has to pay Rs. 8,000/- per month if the Stage Carriage is kept as reserved Stage Carriage. It is pleaded that the increase of the rate of tax for reserved stage carriage creates hostile discrimination. The said aspect has been highlighted in various paragraphs to show that there is violation of Article 14 of the Constitution.