A private limited company, tenant of the building, challenged rejection of its claim to building tax exemption under Sec. 3(1)(b) Kerala Building Tax Act. The court held exemption benefits accrue to the owner based on the owner's use, not the lessee's occupation, and dismissed the writ petition.
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.
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE P.M.MANOJ
THURSDAY, THE 1ST DAY OF AUGUST 2024 / 10TH SRAVANA, 1946
WP(C) NO. 7371 OF 2016
PETITIONER/S:
M/S. BRD CARD WORLD LTD
AIR PORT ROAD, MAVINCHODE, MANNAM P.O., NORTH PARAVUR,
ERNAKULAM - 683 520, REPRESENTED BY ITS AUTHORISED
REPRESENTATIVE MR.V.C. BIJU, S/O. LATE CHANDRASEKHARAN,
VALIYAPARAMBIL HOUSE, PUTHENVELIKKAR, NORTH PARVAUR,
ERNAKULAM.
BY ADVS.
SRI.SUNIL NAIR PALAKKAT
SRI.K.N.ABHILASH
SRI.M.A.AHAMMAD SAHEER
RESPONDENT/S:
1 STATE OF KERALA REPRESENTED BY SECRETARY, MINISTRY OF REVENUE, GOVERNMENT SECRETARIAT, THIRUVANANTHAPURAM - 695 001. 2 ADDL.R2.ANAS RAHMAN
AGED 39 YEARS, S/O ABDUL RAHMAN, RESIDING AT ALCANAL
HOUSE, MANNAM.P.O, MANJALI, PARUR TALUK, KARUMALLOOR
VILLAGE, ERNAKULAM DISTRICT. ADDL.R2 IMPLEADED AS PER
ORDER DATED 11.1.2017 IN IA 513/2017.
BY ADV GOVERNMENT PLEADER
OTHER PRESENT:
SRI.SAYED.M.THANGAL,GOVERNMENT PLEADER
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
01.08.2024, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
W.P.(C) No.7371 of 2016
2
J U D G M E N T
(Dated this the 1st day of August, 2024)
The writ petition is preferred by a private
limited company engaged in the business of sales and
services of Maruthi make cars. The grievance voiced in
this writ petition is against the issuance of Ext.P8
order whereby the claim for exemption from building
tax has been rejected. It is stated that the
petitioner being operating on the strength of Ext.P4,
they are entitled to get exemption under Sec.3(1)(b)
of the Kerala Building Tax Act, 1975.
2. On going by the pleadings, it appears that the
petitioner is only a tenant. He has not produced any
document to show that he has constructed the building
or obtained any permission to construct building. He
is only a lessee of this building which will not
entitle him to get the benefit of exemption under Sec.
3(1)(b) of the Kerala Building Tax Act, 1975. The said
position is already covered by the judgment of this
Court dated 20.01.2015 in WP(C) NO.4892/2014 wherein
it is explicitly found that only the owner of the
W.P.(C) No.7371 of 2016
3
property can avail the benefit of Sec.3(1)(b) of the
Kerala Building Tax Act, 1975.
3. As per the provisions of Section 3 (1) (b) of
the Kerala Building Tax Act, 1975, the provisions of
the Act will not apply to buildings used principally
for religious, charitable or educational purposes or
as factories or workshops. The question to be
considered in the instant case, however, is whether it
is the particular use of the building, by anybody
occupying the building, that qualifies it for
exemption or whether it is the particular use of the
building, by the owner, that qualifies it for an
exemption. It is the particular use to which the
building is put by the owner of the building, that
would determine whether or not the use is one that
qualifies the building for an exemption from building
tax under the Kerala Building Tax Act, 1975. This is
because the benefit of an exemption from building tax
accrues to the owner of the building, and not to the
person who is for the time being in occupation of the
building.
W.P.(C) No.7371 of 2016
4
Under such circumstances, the prayer in the writ
petition cannot be allowed. Accordingly, this writ
petition is dismissed.
Sd/-
P.M.MANOJ JUDGE
SM
W.P.(C) No.7371 of 2016
5
APPENDIX OF WP(C) 7371/2016
PETITIONER EXHIBITS
EXHIBIT - P1TRUE COPY OF THE ABSTRACT OF THE RESOLUTION
DATED 04/04/2015 OF THE BOARD OF DIRECTORS OF
THE PETITIONER COMPANY
EXHIBIT - P2 TRUE COPY OF THE LEASE DEED DATED 01/07/2013
BETWEEN THE PETITIONER AND OWNERS OF THE
PROPERTY
EXHIBIT - P3TRUE COPY OF THE LICENCE DATED 19/09/2012
ISSUED BY THE GOVERNMENT OF KERALA,
DEPARTMENT OF FACTORIES AND BOILERS
EXHIBIT - P4 TRUE COPY OF THE FACTORY PLAN APPROVAL ORDER
DTED 19/09/2012 ISSUED BY THE JOINT DIRECTOR
OF FACTORIES AND BOILERS
EXHIBIT - P5 TRUE COPY OF THE BUILDING PLAN AND MACHINERY
LAYOUT APPROVED BY THE JOINT DIRECTOR OF
FACTOIES AND BOILERS
EXHIBIT - P6 TRUE COPY OF THE ORDER DATED 29/01/2015
ISSUED BY THE RESPONDENT
EXHIBIT - P7 TRUE COPY OF THE REPRESENTATION AS
APPLICATION NO. 33659/SPL.CELL/15/RD
EXHIBIT - P8 TRUE COPY OF THE ORDER NO. G.O(RT) 5794/15RD
DATED 05/11/2015 PASSED BY THE RESPONDENT.
RESPONDENTS EXHIBITS NILL
P.A.TO JUDGE
TRUE COPY
1 issue framed by the court
Whether a tenant/lessee can claim exemption under Sec. 3(1)(b) of the Kerala Building Tax Act, 1975 for a building used as a workshop.
1 provisions across 1 enactments
M/S. BRD Card World Ltd
State of Kerala
Anas Rahman
P.M.Manoj
As recorded by the court registry
Judgements on the same questions, provisions and authorities, from every court