Content Provider | Supreme Court of India |
---|---|
e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | 1888 Mumbai Municipal Corporation Act |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case(s) Referred | Referred Case 0 Referred Case 1 Referred Case 2 Referred Case 3 Referred Case 4 Referred Case 5 Referred Case 6 |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Dismissed |
Headnote | Mumbai Municipal Corporation Act, 1888 – s. 154(1A)(a)- (e), (1B) – Factors and Categories of Users of Buildings or Lands (Assignment of Weightages by Multiplication) Fixation of Capital Value Rules, 2010 – Factors and Categories of Users of Buildings or Lands (Assignment of Weightage by Multiplication) Fixation of Capital Value Rules, 2015 – High Court rejected the challenge as to the validity of various provisions of the MMC Act however, held rr. 20, 21 and 22 of the Capital Value Rules 2010 and 2015 to be ultra vires the provisions of the MMC Act – On appeal, held: Width of clauses (a) to (e) read with sub-Section (1B) do not by any stretch of imagination contemplate taking into account the future prospects of the land in question – The empowerment in terms of clauses (a) to (e) r/w with sub-Section (1B) or the conferral of rule-making power would not permit the Corporation to determine the capital value beyond the scope of said clauses (a) to (e) – Thus, for the purpose of determining capital value, only the present physical attributes and status of the land and building can be considered and not the future prospects of the land – Conclusion arrived at by the High Court are correct – Also, the High Court was right in concluding that r. 20 of the Capital Value Rules of 2010 and the Capital Value Rules of 2015 would be ultra vires the provisions of sub-Sections (1A) and (1B) of s. 154 of the MMC Act – Further, the Rules having come into force on 20.3.2012, the levy and computation of property tax on capital value would be available and possible on and with effect from 20.3.2012 and not with any retrospective operation – Challenge raised by the Corporation fails – Challenges raised by the original writ petitioners on various grounds including the grounds of legislative competence; validity of certain provisions and basis of alleged violation of Article 14 of the Constitution, were considered by the High Court in extenso – No reason to take a different view – Therefore, the said view is affirmed.Constitution of India – Article 243Y, 243X – Mumbai Municipal Corporation Act, 1888 – Plea that any proposal for change or modification in the methodology adopted for levy of property tax ought to have been initiated through the Finance Commission alone – Held: It is the Legislature of the State which will ultimately take an appropriate action with respect to the recommendations made by the Finance Commission and the papers placed before it – If the Legislature itself has taken into account certain prevailing situation, which according to the Legislature is causing some prejudice to the financial health and condition of the municipalities and, therefore, the method of imposition of property tax ought to be changed, then it cannot be said that the matter must necessarily and ought to have emanated from the Finance Commission or that in the absence of such recommendations by the Finance Commission, no steps could have been taken by the Legislature – In the instant case, the exercise undertaken by the Legislature is completely consistent with the empowerment relatable to Article 243X and does not in any way go counter to said empowerment. |
Judge | Honble Mr. Justice Uday Umesh Lalit |
Neutral Citation | 2022 INSC 1181 |
Petitioner | Municipal Corporation Of Greater Mumbai & Ors |
Respondent | Property Owners’ Association & Ors. |
SCR | [2022] 14 S.C.R. 679 |
Judgement Date | 2022-11-07 |
Case Number | 8239 |
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