Vinod Kumar Agarwal vs The Kolkata Municipal ...
2022 Latest Caselaw 1106 Cal/2

OD-2

                            ORDER SHEET

                           WPO/1787/2022

                 IN THE HIGH COURT AT CALCUTTA
                CONSTITUTIONAL WRIT JURISDICTION
                          ORIGINAL SIDE

                   VINOD KUMAR AGARWAL
                           Versus
         THE KOLKATA MUNICIPAL CORPORATION AND ORS.

  BEFORE:
  The Hon'ble JUSTICE SHAMPA SARKAR

Date : 30th March, 2022.

Appearance:

Mr. Raghunath Chakraborty, Adv.

Ms. Amrita De, Adv.

For the petitioner.

Mr. Ranajit Chatterjee, Adv.

Mr. Dwijadas Chakraborty, Adv.

For the K.M.C.

The Court:- The writ petition has been filed alleging the

arbitrary action on the part of the Kolkata Municipal Corporation. The

two main grounds of challenge are:-

a) Despite the annual valuation having been fixed by the

Municipal Assessment Tribunal at Rs. 24,900/- with

effect from 2nd Quarter 2006-2007, the adjustments with

regard to the over payment made by the petitioner have

not been given. Such inaction of the Corporation is

alleged to be contrary to the provisions of Section 197(a)

of the Kolkata Municipal Corporation Act, 1980.

b) That the hearing notices which have been issued on and

from July 23, 2019 with the proposed annual valuation of

Rs. 48,220/- have been issued in total non-application of

mind and without considering the order of the Municipal

Assessment Tribunal as also the provisions of Section

197(a) of the Kolkata Municipal Corporation Act.

Reliance has been placed on a Division Bench judgment of

this Court reported in (2019)1 CAL LT 88 (HC) (Subrata Sen-Versus-

The Kolkata Municipal Corporation & Ors.). In the said decision the

Hon'ble Division Bench held that even if an order of the Municipal

Assessment Tribunal is the subject matter of an application under Article

227 of the Constitution of India before the High Court, till such time the

order of the Assessment Tribunal is set aside or altered, the Corporation

must abide by the decision of the Tribunal and raise the property tax

bills on the basis thereof.

Reliance has also been placed on an unreported judgment

passed in MAT 1343 of 2014 (Kalpana Sarkar-Versus-The Kolkata

Municipal Corporation & Ors.) where the Hon'ble Division Bench of

this Court held that the basis of the annual valuation of subsequent

quarters, in the absence of change of circumstances, shall be the annual

valuation assessed by the Municipal Assessment Tribunal.

Mr. Chatterjee, learned Advocate appearing on behalf of the

Corporation submits that the hearing notices which have been

challenged is pursuant to a change in the taxation event i.e. the increase

in rent on account of rise of rent since the last valuation. This is an

incident/event which occurred after the order of the Municipal

Assessment Tribunal, which gave rise to the notices issued by the

hearing officer. According to Mr. Chatterjee, the petitioner may have

inducted a new tenant or the rent payable may have been substantially

increased. As a result of which, such hearing notices have been issued. It

is also on record that the proposal of the annual valuation of Rs.

48,220/- was from the 2nd Quarter of 2007-2008.

With regard to the first ground of challenge, the Corporation

shall give adjustments, if any excess amount has been paid by the

petitioner pursuant to the earlier annual valuation on and from the

second quarter of 2006 - 2007, which was reduced by the Tribunal to Rs.

24,900/-. Such adjustment shall be given in accordance with law. The

register shall be corrected within two weeks from date, in terms of the

decision in Subrata Sen (supra).

With regard to the demand notices, the petitioner is directed

to approach the hearing officer with his grievances and substantiate his

case as pleaded before this Court to the effect that, no subsequent

taxable event had taken place which would give rise to the proposal for

increase of the annual valuation to Rs. 48,220/-. The Division Bench

Judgment of this Court in MAT 1343 of 2014 clarifies that in the absence

of a subsequent taxable event, the annual valuation of subsequent

periods shall be taken as the valuation which was assessed by the

Municipal Assessment Tribunal. In this case, the same is Rs. 24,900.

[See Kalpana Sarkar (supra)]

Under such circumstances, the writ petition is disposed of

with a direction upon the hearing officer to look into the issues and

consider the grievance of the petitioner with regard to the proposed

annual valuation with effect from 2nd Quarter 2007-2008 upon giving an

opportunity of hearing the petitioner. The hearing officer shall conclude

the proceedings within one month from the date of communication of

this order.

The writ petition is thus disposed of.

(SHAMPA SARKAR, J)

snn.