2023 (6) TMI 686 - ANDHRA PRADESH HIGH COURT

Validity of action of the Respondents in demanding Tax 14 percent on the net invoice priceHyundai Venue 10 Turbo GDI DCT SX Motor Vehicle - seeking refund of Excess tax paid - HELD THAT:- The life tax is to be collected from the vehicle owner upon the sale based on the net invoice price of the vehicle and not upon the ex-showroom price of the vehicle. The life tax can be levied only on the cost of the vehicle under the 6th schedule of the A.P. Motor Vehicles Taxation Act, 1963. It is also clear that the petitioner has purchased the vehicle in the year 2019 and had filed the present writ petition in the same year, which is admittedly within the period of limitation prescribed in the Limitation Act, 1963, viz., three years.

This Court feels it appropriate to allow these writ petitions and the respondents are directed to refund a sum of Rs. 52,168/- to the petitioner in W.P. No. 12089 of 2019 and a sum of Rs. 1,16,000/- to the petitioner in W.P.No. 3049 of 2021, which were collected in excess of the life tax payable by both the petitioners under the Sixth Schedule to the Act on the invoice sale price, within a period of four (4) weeks from the date of receipt of a copy of this order.

Petition allowed.