Supreme Court of India · 1973-02-22
UNION OF INDIA OWNER OF THE EASTERN RAILWAY vs THE COMMISSIONER OF SAHIBGANJ MUNICIPALITY
- Citation / case number
- SC 1968/60323
- Court
- Supreme Court of India
- Petitioner
- UNION OF INDIA OWNER OF THE EASTERN RAILWAY
- Respondent
- THE COMMISSIONER OF SAHIBGANJ MUNICIPALITY
- Author
- SIKRI, S.M. (),RAY, A.N.,PALEKAR, D.G.,DWIVEDI, S.N.,MUKHERJEA, B.K.
- Bench
- SIKRI, S.M. (CJ),RAY, A.N.,PALEKAR, D.G.,DWIVEDI, S.N.,MUKHERJEA, B.K.
Judgment text excerpt
The Supreme Court held that the railway administration is not liable to pay municipal tax for buildings constructed after 31 March 1937, as they were not vested in His Majesty for purposes of the Federation under Section 154 of the Government of India Act, 1935, and Article 285 of the Constitution. The Court found that the High Court erred in interpreting the 1911 notification as continuing under Section 4 of the Railways (Local Authorities Taxation) Act, 1941. The Court clarified that the 1941 Act does not impose tax liability on railway properties unless explicitly stated by a notification from the Central Government.