NAGAR PALIKA PARISHAD Vs. ANIL KUMAR & ORS

JUDGEMENT

(1.) This first appeal has been filed by the defendant being aggrieved by judgment and decree dated 19.12.2002 passed by the Court of Additional District Judge, Ganj Basoda, Distt. Vidisha, in civil suit No.2-A/1999 (Anil Kumar & Anr. Vs. Nagar Palika Parishad), whereby a suit for permanent injunction filed by the plaintiffs claiming injunction on recovery of export tax has been decreed by the trial Court on the ground that plaintiffs were having two offices, namely one at Ganj Basoda in the name of Anil Hardware Stores Naya Bazar, Ganj Basoda and another at village Jiwajipur, Tyonda Road Basoda in the name of Deepak Fire Works and since the second office was outside the municipal limits, therefore, any transaction carried out by the said office namely Deepak Fire Works was not liable to be subjected to export tax inasmuch as export tax is leviable only on a entity situated within the municipal limits of the local body.

(2.) Learned counsel for the appellant submits that this judgment and decree suffers from basic infirmity inasmuch as both the firms Anil Hardware Stores Naya Bazar, Ganj Basoda and Deepak Fire Works at village Jiwajipur, Tyonda Road Basoda were situated within the municipal limits at Bada Bazar, Sawar Chowk, and therefore, levying of export tax cannot be faulted with and the plaintiffs are liable to pay the export tax. It is also submitted that admittedly levy of export tax of Rs.2,17,693/- was imposed on the firm which was reduced by the Collector to Rs.80,000/- and out of this, firm had already deposited a sum of Rs.55,000/-, that means plaintiffs had admitted their liability and paid the amount in part. It is also submitted that deficit court fee was paid, and therefore, in fact suit was not maintainable before the trial Court. It is submitted that actually valuation of the suit should have been made at Rs.80,000/-, but instead it was arbitrarily valued at Rs.55,000/- and this aspect too has been overlooked by the trial Court.

(3.) Learned counsel for respondent No.1 Shri R.D.Agrawal submits that impugned order does not suffer from any infirmity inasmuch as two entities as is apparent from the name are different and the entity namely Deepak Fire Works being outside the territorial jurisdiction of the municipality was not liable to pay any export tax inasmuch as export tax is payable on the entity falling within the municipal limits in terms of Section 127 of the Municipalities Act. In view of such submissions, he prays for dismissal of the appeal and affirming the judgment and decree passed by the trial Court.