Excelsior Correspondent
JAMMU, Feb 6: Division Bench of State High Court comprising Chief Justice M M Kumar and Justice Hasnain Massodi has set aside the interim order passed by the Single Judge restraining the Government from charging Rs 2000 per day as tax from the All India Tourist vehicles.
The Single Judge had on February 9, 2012 restrained the State from charging the tax and aggrieved over the order the State Government filed appeal before the Division Bench by invoking Clause 12 of the Letters Patent Appeal.
After hearing Senior Additional Advocate General Gagan Basotra for the State whereas Advocate Vijay Gupta for the respondents, the Division Bench after referring observations of the Supreme Court in the case titled “United Bank of India Versus Satyawati Tondon observed, “it must be remembered that stay of an action initiated by the State and/or its agencies/instrumentalities for recovery of taxes, cess, fees, etc. seriously impedes execution of projects of public importance and disables them from discharging their constitutional and legal obligations towards the citizens”.
“In the tax matters prima facie nature of the case would not be considered sufficient for passing any interim order. Even if a citizen has a prima facie good case, the courts are not influenced and no interim order is to be issued for staying payment of taxes. Moreover, the appellant-State would face difficulty to make any recovery from vehicles frequenting J&K from various parts of the country”, the DB said and set aside the interim order passed by the Single Judge.
“The State is at liberty to effect recovery of taxes under the J&K Motor Vehicles Taxation Act in accordance with the law applicable as on today. Let the petitions which are stated to be on the board of Single Judge be decided at an early actual date”, the DB said.
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