RAMAVTAR Vs. STATE OF RAJASTHAN

JUDGEMENT

(1.) The special appeal and the writ petition raise a common controversy: whether this Court can adjudge the authority and power of the State of Haryana and its functionaries and the Excise and Tax Commissioner, Haryana (Chandigarh) to levy and collect the taxes (passenger and road tax) from the motor vehicles covered under the All India Tourist Permits granted by the Regional Transport Authorities in Rajasthan when these vehicles pass through the State of Haryana for going to Delhi and Haridwar on National Highway No. 8 but neither any passenger is picked-up nor dropped in the territory of Haryana. Since the controversy raised in both these cases is the same, we, therefore, propose to decide the preliminary issue regarding the maintainability of the writ petitions by this common judgment.

(2.) The writ petitioners are holding All India Tourist Permits granted in their favour by the Regional Transport Authorities in Rajasthan under Section 88 of the Motor Vehicle Act, 1988. The petitioner-appellants in Special Appeal No. 616/1996 (Ramavtar and othersy. State of Rajasthan and others) are holding six All India Tourist Permits while petitioner Lokendra Kumar Kothari in holding two All India tourist Permits, out of which one is valid in respect of the State of Rajasthan, Punjab, Maharashtra, Delhi and Haryana while the other permit, which he is holding, is valid for Rajasthan, Delhi, Gujarat, Haryana and Maharashtra. The buses operated by the petitioners on these sanctioned tourist permits are duly registered in the State of Rajasthan and they have paid the authorisation fees as required under rule 83 of the Rules in the State of Rajasthan.

(3.) While travelling from Rajasthan to Delhi or to Haridwar, the motor vehicles pass through the portion of National Highway No. 8 whichl lies in the territory of the State of Haryana. These tourist vehicles, which are owned by the petitioners, neither pick-up any passengers nor drop any passenger on any portion of the route lying in the State of Haryana but the buses have to pass through the territory of Haryana out of sheer geographical necessity. While passing through the territory of the State of Haryana on National Highway No. 8, the collecting agencies of the State of Haryana are collecting passengers tax from the travelling people under the Punjab and Haryana Passengers Texation Act and the Rules framed thereunder. The petitioners, by the writ petitions challenged the act of the non-petitioners in forcefully collecting the unauthorised tax on transit from the petitioners and the passengers in respect of the vehicles and have prayed for the following reliefs :- "(a) it may kindly be declared that the petitioner who is plying his vehicles on the national highway No. 8 passing through the State of Haryana under corridor conditions is not liable to pay tax to the non-petitioners; (b) it may kindly be declared that the State of Haryana has no right to impose tax on the vehicles which pass through its territory under the All India Tourist Permit when no passenger is either picked-up or dropped within its territory; (c) it may be further declared that the so-called tax is directly on the petitioner's business and, therefore, it is hit by Articles 301 and 304 of the Constitution; (d) that the tax so imposed by the non- petitioners is confiscatory and not compensatory and is also against the public purpose and such imposition of the tax is on the petitioner who is a transporter and, therefore, unreasonable and deserves to be quashed; (e) it is further prayed that the non- petitioners may kindly be directed to refund to the petitioner the amount which has so far been recovered from him; (f) it be further held that no tax can be levied on and recovered from the petitioner by the non-petitioners in connection with the permits in question even on the alternative basis for the period which has already expired; (g) any other writ, order or direction, which the circumstances of the case warrant, may kindly be passed in favour of the petitioner, (h) cost of this writ petition may kindly be awarded in favour of the petitioner."