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TMI Blog2015 (12) TMI 845X X X X Extracts X X X X X X X X Extracts X X X X ..... specifically mentioned in the definition of house contained in Section 2(19) of the Act. It would, thus, follow that it may not be necessary that such a place is capable of frequent visits by the human beings or fit for human occupations. The High Court has rightly pointed out that as per the said definition, the requirement that a house should be fit for human occupations is only for huts which is defined under Section 20 of the Act. The Legislature has provided a particular definition to 'house' and levied property tax thereupon. It is this fictional definition of 'house' which is to be kept in mind for the purpose of levy of tax. No merit in this appeal as well as writ petition which are accordingly dismissed - Civil Appeal No. 1041 of 2008, Writ Petition (C) No. 499 of 2007 - - - Dated:- 9-12-2015 - A. K. Sikri And Rohinton Fali Nariman, JJ. JUDGMENT A. K. Sikri, J. Indian Oil Corporation Limited (hereinafter referred to as the 'IOC') has challenged the common judgment rendered by the High Court of Judicature, Andhra Pradesh at Hyderabad in the two writ petitions which were filed by the IOC impugning the order dated 14.12.2002 coupled with demand not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... taken up for hearing. 3. Having regard to the nature of issue involved, though it may not be necessary to traverse through the facts in detail, those minimal facts which are to be kept in mind while deciding the issue, are recapitulated below: The IOC is a Central Government undertaking, which is in the business of marketing products including petrol, high speed diesel, liquified petroleum gas, lubricants etc. For the purpose of efficient distribution of its products, the IOC has storage depots and LPG bottling plants at various places. One such LPG bottling plant of the IOC is situated in the industrial development area, Cuddapah. This bottling plant is spread over a large extent of land and consists of various building, machinery and LPG storage tanks. The entire bottling plant falls within in the jurisdiction of the Chinnachowk Grama Panchayat. 4. The Andhra Pradesh Panchayat Raj Act, 1994 was enacted which deals with various facets of Panchayati Raj. It also provides for provisions for levy of property tax and machinery for collection thereof. Under the aforesaid provisions, the Chinnachowk Grama Panchayat initially fixed the property tax for the Assessment Year 1998- ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ing. Similarly, the water storage tanks are normally filled with water or use in case of emergencies. These tanks also cannot be inhabited by human being during their normal operation. These tanks are also cleaned after a lapse of few years only. 7. In the aforesaid backdrop, the question that arises for consideration is as to whether the storage tanks which store LPG can be considered as 'house' within the meaning of the Act as the taxes are leviable, inter alia, on houses. The material provisions which have to be taken into consideration are the definition of the terms 'building' and 'house' which are defined by sub-section (3) of Section 2 of the Act and sub-section (19) of Section 2 of the Act. These are as follows: Section 2(3) : 'building' includes a house, outhouse, shop, stable, latrine, shed (other than a cattle shed in an agricultural land), hut, wall and any other such structure whether of masonry, bricks, wood, mud, metal or other material whatsoever; Section 2(19) : 'House' means a building or a hut fit for human occupation, whether as a residence or otherwise and includes any shop, factory, workshop or warehouse or ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Every gram panchayat may, with the previous approval of the prescribed authority also levy, in respect of lands lying within its jurisdiction, a duty in the form of a surcharge at such rate, not exceeding twenty-five naya paise in the rupee, as may be fixed by the gram panchayat- (a) in the Andhra Area, on the land cess, leviable under Section 78 of the Andhra Pradesh (Andhra Area) District Boards Act, 1920 and on the education tax leviable under section 37 of the Andhra Pradesh Education Act, 1982; (b) in the Telangana area, on the local cess leviable under section 135 of the Andhra Pradesh (Telangana Area) District Boards Act, 1955 and on the education tax leviable under section 37 of the Andhra Pradesh Education Act, 1982. (6) Any resolution of a gram panchayat abolishing an existing tax or reducing the rate at which a tax is levied shall not be carried into effect without the previous approval of the Commissioner. Section 61 - House-tax (1) The house-tax referred to in clause (a) of sub-section (1) of section 60 shall, subject to such rules as may be prescribed, be levied on all houses in the village on any one of the following basis, namely: ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ely following that in which the order is published, as may be specified in the order. Such direction may be issued in respect of all buildings in a gram panchayat or in respect of only such buildings belonging to the undertakings owned or controlled by the State Government or Central Government and the buildings belonging to the State Government as may be specified therein. (2) When an order under sub-section (1) has been published, the provisions of this Act relating to house-tax shall apply as if the gram panchayat had, on the date of publication of such order, by resolution determined to levy the tax at the rate and with effect from the date specified in the order, and as if no other resolution of the gram panchayat under Section 60 determining the rate at which and the date from which the house-tax shall be levied, had taken effect. (3) A gram panchayat shall not alter the rate at which the house-tax is levied in pursuance of an order under sub-section (1) or abolish such tax except with the previous sanction of the Government. 8. From the aforesaid definition of 'building' contained in Section 2(3) of the Act, it becomes apparent that very expan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... makes all those kinds of buildings qualify as house even when used for garaging or parking buses or as a bus stand or cattle shed. 10. It cannot be disputed that structures in question are building. The term 'building' as defined in Black's Law Dictionary, 10th Edition mentioned it to be a structure with walls and a roof, esp. a permanent structure. Even Mr. Guru Krishnakumar, learned senior counsel for the IOC accepted that the storage tanks and water tanks would qualify as buildings. 'Storage' is described in the Black's Law Dictionary as 'the act of putting something away for future use; esp., the keeping or placing of articles in a place of safekeeping, such as a warehouse or depository. Black's Law Dictionary also gives the description of warehouse as 'a building used to store goods and other items'. Oxford Dictionary also explains warehouse as combination of ware plus house and assigns the meaning as under: A building or part of a building used for the storage of merchandise; the building in which a wholesale dealer keeps his stock of goods for sale; a building in which furniture or other property may be stored; a government bu ..... X X X X Extracts X X X X X X X X Extracts X X X X
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