The Division Bench dismissed the Writ Appeal filed by the State and officials against a Single Judge's order directing them to refund excess stamp duty paid by a respondent company. The Court held that the appeal was devoid of merit, agreeing with the Single Judge.
The Writ Appeal was rejected.
This page shows the compact analysis of this judgement. The full analysis — procedural history, issue-by-issue holdings with ratio and obiter, advocates, and paragraph-level evidence for every claim — is being added to the record in batches and will appear here when this judgement has been through it.
NC: 2023:KHC:36243-DB WA No. 606 of 2023
IN THE HIGH COURT OF KARNATAKA AT BENGALURU
DATED THIS THE 6TH DAY OF OCTOBER, 2023
PRESENT
THE HON'BLE MR PRASANNA B. VARALE, CHIEF JUSTICE
AND
THE HON'BLE MR JUSTICE KRISHNA S DIXIT
WRIT APPEAL NO. 606 OF 2023 (GM-ST/RN)
BETWEEN:
Digitally signed by SHARADA VANI B Location: HIGH COURT OF KARNATAKA
…APPELLANTS
(BY SRI. VIKRAM HULIGOL., AAG A/W SMT.NILOUFER AKBAR., AGA)
AND:
M/S CREATIVE AROMATICS SPECIALITIES PVT LTD A COMPANY INCORPORATED UNDER THE COMPANIES ACT, 1956,
NC: 2023:KHC:36243-DB WA No. 606 of 2023
HAVING ITS REGISTERED OFFICE AT NO 67/3, INDUSTRIAL SUBURB, YESHWANTHPUR, BENGALURU-560 022. REPRESENTED BY ITS DIRECTOR MR. B.MANOHARAN.
…RESPONDENT
THIS WRIT APPEAL FILED U/S 4 OF THE KARNATAKA HIGH COURT ACT PRAYING TO i) SET ASIDE THE ORDER DATED 18.10.2022 PASSED BY THE SINGLE JUDGE IN WRIT PETITION No. 5474/2020 AND CONSEQUENTLY DISMISS THE WRIT PETITION. ii) GRANT SUCH OTHER RELIEF AS THIS HONBLE COURT MAY DEEM FIT IN THE FACTS AND CIRCUMSTANCES OF THE CASE, IN THE INTEREST OF JUSTICE AND EQUITY.
THIS APPEAL COMING ON FOR ORDERS THIS DAY, CHIEF JUSTICE DELIVERED THE FOLLOWING:
JUDGMENT
State and its officials have presented this intra Court appeal calling in question a learned Single Judge’s order dated 18.10.2022 whereby, the respondent’s W.P No.5474/2020 (GM-ST-/RN) having being favoured, a direction has been issued to the appellants to refund a stamp duty of Rs.33,21,635/- with interest at the rate of 6% thereon from the date of application for refund.
the appellants vehemently submits that there is no provision in the Karnataka Stamp Act, 1957 which gives
the right to the rate payer to seek refund if payment is
made in excess of legal compulsion; since the State and its officials can do what is specifically permitted by the Legislation, what is not permitted is impermissible.
in the schedule to the 1957 Act. It hardly needs to be reiterated that this statute is a piece of taxation law. A citizen is liable to pay the tax if the statute provides for the levy and no citizen can be compelled to shell out a rupee from pocket unless compelled by a legislation. Merely because what has been paid by the citizen involves the elements of volunti, that does not entitle the State to
retain the money, paid in ignorance of law. Therefore, the
reasoning of the learned Single Judge perfectly accords with this view.
In the above circumstances, appeal being devoid of
merits is liable to be and accordingly, rejected in limine.
Registry shall send a copy of this judgment to the respondent by Registered Post.
Sd/CHIEF JUSTICE
Sd/JUDGE
Snb/
List No.: 1 Sl No.: 33
1 issue framed by the court
Whether the Writ Petitioner is entitled to a refund of excess stamp duty paid.
1 provisions across 1 enactments
The State of Karnataka
M/s Creative Aromatics Specialities Pvt Ltd
Prasanna B. Varale
Krishna S Dixit
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court
