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2009 (8) TMI 1112 - HC - VAT and Sales TaxConstitutional validity of the provisions introduced to the Kerala Tax on Luxuries Act, 1976 by the Finance Act, 2006 with effect from April 1, 2006, authorising levy of luxury tax at the rate of ₹ 5 per connection per month to be collected and remitted by every cable TV operator from the person enjoying the connection challenged Held that:- It is the settled position that so long as the levy of tax is constitutional, the court has no authority to go into the reasonableness of the levy or justification of the same which are purely matters of legislative policy. Further, cable TV subscribers as a whole or any substantial number have not approached this court raising objection against the levy which means that there is general acceptability of the tax liability by those who are liable under the Act. We, therefore, find no merit in the challenge raised by the individual subscriber against the levy of luxury tax on cable TV subscriber who enjoys the luxury. Those who have access to only programmes from Doordarshan channels are not comparable to other class of cable TV subscribers who get access to large number of other channels and entertainment programmes. So much so, we do not find any substance in the allegation of discrimination pertaining to exclusion of subscribers who have taken only cable connection giving Doordarshan channels only. This contention also, therefore, fails and is rejected. The right to collect tax unlike in other statutes is not left to the discretion of the cable TV operators, but the statute makes it their duty to collect and remit the same to the Government. Thus the constitutional validity of the legislation upheld.
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