Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | 1975 UP Water Supply and Sewerage Act |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Dismissed |
Headnote | U.P. Water Supply and Sewerage Act, 1975 - s.52 - Jal Sansthan an instrumentality of the State - Supplied water to Railway colonies and Railway stations and also maintained their sewerage system - Service charges demanded by Jal Sansthan from Railways for supply of water and maintenance of sewerage - Held: Was in the nature of a fee for services rendered by Jal Sansthan to the Union through the Railways and not a tax on property of the Union - Such service charges not violative of Article 285 of the Constitution as property oft he Union was not being subjected to any tax - Constitution of India, 1950 - Art. 285.Taxation - Tax and fee - Distinction between - Discussed.Jal Sansthan, an instrumentality of the State of Uttar Pradesh, established under the U.P. Water Supply and Sewerage Act, 1975, supplied water to Railway colonies and Railway stations and also maintained their sewerage system. For rendering such services, the Jal Sansthan demanded 'water' and 'sewer' charges from the Railways. The demand was challenged by the Railways on the ground that they were holding the property of the Central Government for which service charges were not payable under Article 285 of the Constitution as such charges were in the nature of a tax. It was submitted that in view of the policy taken by the Ministry of Railways, Government of India such charges cannot be recovered as this was totally exempted. But the Jal Sansthan did not heed to it and initiated recovery proceedings against the Railways which filed writ petition before the High Court but the same was dismissed.In appeal to this Court the question which arose for consideration is whether the service charges for supply of water and maintenance of sewerage was a fee for the services rendered by the Jal Sansthan and not a tax on the properties of the Railways and hence the exemption granted to property of the Union of India from State taxation under Article 285 of the Constitution was not relevant to the present case as property of the Union of India was not being subjected to any tax. |
Judge | Hon'ble Mr. Justice A.K. Mathur |
Neutral Citation | 2007 INSC 1116 |
Petitioner | Union Of India And Ors. |
Respondent | State Of U.p. And Ors. |
SCR | [2007] 11 S.C.R. 792 |
Judgement Date | 2007-11-01 |
Case Number | 2549 |
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