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1987 (1) TMI 80 - SC - Income TaxIs the Municipal Corporation of Hyderabad prohibited from levying municipal taxes from persons inducted by it in the property of its own ownership under the hire purchase agreement ? Held that:- The learned single judge was right in taking the view that the buildings and lands vesting unto the Corporation not only in title but also in possession (as polarized from those vesting in title only but not in possession) were exempted from the obligation imposed by the Legislature to levy property taxes. Buildings and lands which were merely owned by the Corporation but were in actual possession or under the actual use and occupation of someone else, that is to say, persons or bodies other than the Corporation itself are not exempted. In order to attract section 202(1)(c), it must be established that the property must satisfy a dual test. The property must not only be owned by the Corporation, it must also be in the occupation of the Corporation itself. It is in this sense that the word " vesting " has been used. And the proposition that the expression " vest " is capable of being used in this sense, depending on the context in which it is employed. We, therefore, allow this appeal
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