Disposed

Rashtriya Shikshana Samithi Trust (R) v. State of Karnataka

Karnataka HC17 Apr 2023WP/3822/2023

Case brief

AI extract

What is this about?

High Court disposed of a Writ Petition challenging Section 152(1)(i)(b) of the BBMP Act and a subsequent circular regarding property tax exemption for private education institutions. The Court held that a government amendment removing discrimination rendered the challenge obsolete.

What did the court decide?

Quashed the circular dated 29.03.2021 and consequential demand notices. Petitioner's deposited amount directed to be adjusted against future tax payments.

Rashtriya Shikshana Samithi Trust (R) Vs State of… — Property and Title | Karnataka HC (2023)

¶1

¶2

WP No. 3822 of 2023

¶3

IN THE HIGH COURT OF KARNATAKA AT BENGALURU

¶4

DATED THIS THE 17^TH DAY OF APRIL, 2023

¶5

BEFORE

¶6

THE HON'BLE MR JUSTICE SURAJ GOVINDARAJ WRIT PETITION NO. 3822 OF 2023 (LB-TAX)

¶7

BETWEEN:

¶8

RASHTRIYA SHIKSHANA SAMITHI TRUST (R), PUBLIC TRUST, R.V. TEACHERS COLLEGE BUILDING, 2ND BLOCK, JAYANAGAR, BENGALURU - 560 011. REPRESENTED BY ITS HON. SECRETARY.

¶9

…PETITIONER

¶10

(BY SRI. AKARSH KUMAR GOWDA, ADVOCATE)

¶11

AND:

¶12

Digitally signed by REKHA ANKAIAH Location: High Court of Karnataka

¶13

STATE OF KARNATAKA, REPRESENTED BY ITS PRINCIPAL SECRETARY. DEPARTMENT OF URBAN DEVELOPMENT, M.S. BUILDING, DR. AMBEDKAR ROAD, BENGALURU - 560 001.

¶14

BRUHATH BENGALURU MAHANAGARA PALIKE, REPRESENTED BY ITS COMMISSIONER, N.R. SQUARE, BENGALURU - 560 002.

¶15

…RESPONDENTS

¶16

(BY SRI. NITYANANDA K.R, AGA FOR R1; SRI. PAWAN KUMAR, ADVOCATE FOR R2)

¶17

THIS WP IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO DECLARE THAT THE PRIVATE

¶18

¶19

WP No. 3822 of 2023

¶20

EDUCATIONAL INSTITUTIONS ESTABLISHED AND ADMINISTERED WITHIN BRUHATH BENGALURU MAHANAGARA PALIKE AREA ARE NOT LIABLE TO PAY PROPERTY TAX UNDER THE BRUHATH BENGALURU MAHANAGARA PALIKE ACT 2020 AND ETC.,

¶21

THIS WP, COMING ON FOR PRELIMINARY HEARING IN 'B' GROUP, THIS DAY, THE COURT MADE THE FOLLOWING:

¶22

ORDER

¶23

In the above matter, a declaration has been sought for that Section 152(1)(i)(b) of the Bruhath Bengaluru Mahanaga Palike Act, 2020 (for short the 'BBMP Act') insofar as it excludes education purposes by private education institutions, is violative of Article 14 of the Constitution of India and is discriminatory. It is in that background that a circular which has been issued under Section 152(1)(i)(b) of the BBMP Act by the BBMP notifying that private institutions do not have the benefit of exemption from payment of property tax has been challenged. Consequently, the demand notice issued by the BBMP calling upon the petitioner to make payment of property tax is also challenged.

¶24

During the pendency of the above matter, the State Government has amended Section 152(1)(i)(b) of the BBMP Act on 10.03.2023 substituting Section

¶25

¶26

WP No. 3822 of 2023

¶27

152(1)(i)(b) of the BBMP Act with the following: "the education institutions established for the purpose of education, recognized by the government or local authority" .

¶28

In view of the said amendment, the discrimination alleged by the petitioner against private education institutions vis-a-vis government education institutions does not survive inasmuch as all education institutions which have been recognized by the government or local authority would be entitled for exemption. Thus, a declaration which has been sought for in the above matter in respect of 152(1)(i)(b) of the BBMP Act has been violative of Article 14 of the Constitution of India does not survive for consideration.

¶29

In view of the amendment, the circular which has been issued on 29.03.2021 notifying that private institutions do not have the benefit of exemption would be required to be quashed on account of Section 152(1)(i)(b) of BBMP Act has been amended by clarifying that any

¶30

¶31

WP No. 3822 of 2023

¶32

institution which is recognized by the government or local authority would be entitled for exemption.

¶33

The consequential prayer seeking for quashing the demand notices which have been issued by the BBMP to the petitioner in furtherance of the circular dated 29.03.2021 would also have to be quashed in view of the circular having been quashed.

¶34

It is made clear that if the petitioner has deposited any amount in view of any interim orders passed by this Court, the same is directed to be adjusted to future tax payments due by the petitioner on the said properties.

¶35

With the above observations, the petition is disposed of .

¶36

Sd/JUDGE

¶37

GJM

Rashtriya Shikshana Samithi Trust (R) v. State of Karnataka

Case brief

What is this about?

What did the court decide?

Rashtriya Shikshana Samithi Trust (R) v. State of Karnataka

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

Parties & counsel

Coram

Case details

Similar cases

Sri B v Venkatesh Vs the State of Karnataka

The Tumkur District Bhagiratha Vs the Commissioner

Eranna Vs the State of Karnataka

S v Educational Trust Vs the State of Karnataka

M/S Sri Dhanawantri Hospitals Vs the Joint Registrar of Co. Operative

Smt. Mehra'S Vs State of Karnataka