Rajasthan High Court - Jodhpur
The F. C. I. Jodhpur vs State Of Raj. And Ors ... on 7 November, 2025
Author: Vinit Kumar Mathur
Bench: Vinit Kumar Mathur
[2025:RJ-JD:47836-DB]
HIGH COURT OF JUDICATURE FOR RAJASTHAN AT
JODHPUR
D.B. Civil Writ Petition No. 9407/2011
The Food Corporation of India, through the "Area Manager",
District Office Food Corporation of India 7th West Patel Nagar,
Circuit House Road, Ratanada, Jodhpur (Raj.)
----Petitioner
Versus
1. The State of Rajasthan, through the "Chief Secretary",
Secretariat, Jaipur (Raj.).
2. The Municipal Corporation, Jodhpur (Raj.).
3. The Chief Executive Officer, Municipal Corporation, Jodhpur
(Raj.).
4.The District Collector, Jodhpur (Raj.).
5.The Divisional Commissioner, Jodhpur (Raj.).
----Respondent
For Petitioner(s) : Mr. M.K. Trivedi
For Respondent(s) : Mr. Rajesh Panwar, AAG
Mr. Rakesh Sharma
HON'BLE MR. JUSTICE VINIT KUMAR MATHUR
HON'BLE MR. JUSTICE BIPIN GUPTA
Order
07/11/2025
1. The present writ petition has been filed against orders dated
29.03.2025/08.04.2005 passed by the Assessing Officer; the
Appellate Order dated 09.10.2006 passed by District Collector,
Jodhpur and 25.08.2008 revisional order passed by Divisional
Commissioner, Jodhpur.
2. Briefly noted facts in the present writ petition are that the
petitioner is a Corporation constituted in the year 1964 having its
Head Office at Delhi and a District Office at Jodhpur. The petitioner
Corporation is having five godowns under their command situated
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at Jodhpur. On the said godowns the assessment notice was
received by the petitioner from the Land and Building Tax
Department Government of Rajasthan for the assessment under
the head of 'land and building tax' from the year 1973-74 to 1985-
86 and thereafter, from the subsequent assessment years till
2003.
3. The petitioner Corporation joined the assessment
proceedings and after hearing the parties, the assessment order
dated 29.03.2005 was passed. In pursuance of this order, a
demand note dated 08.04.2005 was issued. The petitioner
thereafter, filed an appeal against this order before the District
Collector, Jodhpur and the same was decided by the District
Collector, Jodhpur vide order dated 09.10.2006, whereby the
appeal was dismissed. Against the order dated 09.10.2006, a
revision petition under Section 19 of the Rajasthan Land and
Building Tax Act, 1964 (hereinafter referred to as the 'Act of
1964') was also filed, but the same was also dismissed vide order
dated 25.08.2008. Hence, the present writ petition has been filed.
4. Learned counsel for the petitioner vehemently submits that
the godowns in question belongs to the Government of India and
they are simply being utilised by the Food Corporation of India. He
submits that the right, title and ownership continues to be under
the Government of India and therefore, as per Section 6 of the Act
of 1964, the property of the Government of India is exempted
from imposition of tax.
5. Learned counsel for the petitioner submits that despite the
godowns in question being under the ownership of the
Government of India, the Assessment Officer has passed an order
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imposing land and building tax upon it. He submits that the same
mistake has been committed by the Appellate Authority and
Revisional Authority. He further submits that the imposition of tax
by all the three Authorities is in contravention of the judgment
passed by the Hon'ble Supreme Court in the case of Food
Corporation of India vs. State of Rajasthan and Ors.; Civil
Appeal No 1350/2023 (decided on 21.02.2023). He therefore
prays that the present writ petition may be allowed and the
demand raised against the petitioner may be quashed and set-
aside.
6. Per contra learned Additional Advocate General cum Senior
Counsel appearing for the State of Rajasthan submits that the
godowns are actually being used by the petitioner and have rightly
been assessed for payment of the land and building tax on the
ground that they are now being owned by the petitioner-Food
Corporation of India. Learned senior counsel further submits that
even the pleadings to that effect very clearly show that the
godowns are being utilised by the present petitioner and are under
the ownership of the Food Corporation of India. Therefore, they
are not exempted from the imposition of land and building tax as
per the provisions of the Act of 1964. Не, therefore, prays that no
interference is warranted in the present petition.
7. We have considered the submissions made at the Bar and
have gone through the impugned orders dated
29.03.2005/08.04.2005, 09.10.2006 and the revisional order
dated 25.08.2008.
8. A close reading of three orders show that the five godowns
being utilized by the present petitioner have been brought under
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the ambit of land and building tax and had been assessed for
payment of the same by the Assessing Officer. The entire
consideration in the mind of Assessing Officer was that the
godowns belong to the petitioner-Food Corporation of India as the
same are being utilized by them. Even in the Appellate Order and
the Revisional Order it has come on record that since the godowns
are being used by the Food Corporation of India therefore, the
Assessing Officer has rightly assessed the land and building tax
upon such godowns.
9. We are of the view that the finding to the effect that the five
godowns in question are actually under the ownership of
Government of India has not been clearly reflected in these
orders. Although the Assessing Officer, Appellate Authority and
Revisional Authority have considered that all the five godowns are
under the ownership of the present petitioner merely based on the
fact of possession and therefore, the same are amenable to land
and building tax. In the considered opinion of this Court, unless a
finding is recorded to the fact that the five godowns in question
are under the ownership of Government of India or the petitioner
Food Corporation of India, the assessment of land and building tax
could not have been made.
10. Needless to say at this stage that, if the five godowns in
question are under the ownership of the Government of India,
then as per Section 6 of the Act of 1964, no tax can be levied on
it.
11. Accordingly, the writ present petition is partly allowed. The
impugned order dated 25.08.2008 is set aside and the matter is
remanded back to the Divisional Commissioner, Jodhpur to record
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a finding with respect to the fact that whether the five godowns in
question are under the ownership of Government of India or the
Food Corporation of India. Needless to say, if the finding is arrived
that the same are under the ownership of Government of India,
then the petitioner cannot be fastened with the liability of paying
the land and bulidng tax as per the Act of 1964.
12. It is also made clear that apart from five godowns mentioned
herein above, if any other new construction being raised by the
Food Corporation of India is in existence the same will be
amenable to tax as per the provisions of the Act of 1964.
13. Pending applications, if any, stand disposed of.
(BIPIN GUPTA),J (VINIT KUMAR MATHUR),J
146-JatinS/-
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