TMI Blog1969 (1) TMI 81X X X X Extracts X X X X X X X X Extracts X X X X ..... of buildings or lands or of both. Sections 131 to 135 lay down the procedure for imposing the tax. The High Court held that the levy was invalid as the Board did not comply with this procedure. 2. A municipal board desiring to impose the tax is required by Section 131 Sub-section (1) to pass a special resolution framing the preliminary proposal for the tax. The Municipal Board, Sitapur, passed a special resolution on January 24, 1956 framing the proposal for the levy of water tax at the rate of 12% per annum on the annual value of buildings and lands and exempting buildings and lands whose annual value was ₹ 24 or below. 3. Section 131 Sub-section (2) requires the Board to prepare a draft of the rules in respect of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... les in respect of the tax. It may be noted that the Commissioner, Lucknow Division, was the prescribed authority. On receipt of the order of sanction and the copy of the rules, the Board acting Under Section 134 Sub-section (2) passed a special resolution on April 23, 1957 directing the imposition of the tax with effect from October 1, 1957. This special resolution was not published in the manner prescribed by Section 94. On receipt of the special resolution the prescribed authority acting Under Section 135 Sub-section (2) notified in the official gazette dated August 3, 1957 the imposition of the tax. from the appointed date. Section 135 Sub-section (3) provides that a notification of the imposition of a tax under Sub-section (2) shall be ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... paper and omission to publish the draft rules as required by Section 131 Sub-section (3) read with Section 94 Sub-section (3) was cured by Section 135 Sub-section (3) and that the publication of the special resolution by affixing a copy of it on the notice board and by beat of drum was sufficient. In Bland Sugar v. Municipal Board [1965]1SCR970 the Court held that the publication of the proposals and the draft rules in Hindi in a local Urdu paper was sufficient compliance with Section 131 Sub-section (3). In Berar Swadeshi Vanaspatki v. Municipal Committee, Shegaon [1962]1SCR596 the Court held that in view of the similar provisions of Section 67 Sub-section (7) of the C.P. and Berar Municipal Act, 1922, the validity of imposition of the oc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Act No. XXVII of 1964) inserted in Section 132 Sub-section (2) the following proviso: Provided that no such publication shall be necessary where the modification is confined to reduction in the amount or rate of the tax originally proposed. This proviso was not in force on January 24, 1956. But it does indicate that it is unnecessary to publish a modified proposal reducing the rate of tax originally proposed. The original proposal exempted all buildings and lands whose annual value was ₹ 24 or below. The modified proposal raised the exemption limit and provided that all buildings and lands whose annual value was ₹ 36 or below would be exempted. The inhabitants of the municipality had full opportunity to raise objections as to ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
