The word "used" in the A.P. Non-Agricultural Lands Assessment Act, 1963 means not only "actually used", but also land meant to be used or set apart for being used.

P. L. N. SARMA, J.

( 1 ) THIS writ petition was filed for a Mandamus or any other appropriate Writ or Order or direction restraining the respondents from determining the Non- agricultural Land Assessment on the entire land of Ac. 30-02 cents in s. No. 440/a3 situate at Kanakadripalli, H/o Itikala Village, Kolimigundla mandal, Kurnool District. The petitioner further sought a direction to determine the Non-Agricultural Land Assessment only on the extent of 2431. 99 square metres which is the actual area occupied by the Cement Factory.

( 2 ) PETITIONER is a Company incorporated under the Companies Act. It was assigned an extent of Ac. 30-02 cents for the purpose of starting Cement Factory. The assignment by way of alienation was made by the Proceedings of the collector in Rc. B. 469935 / 84 dt. 8-6-1985. The Cement Factory was constructed and actually commissioned for production in May, 1986. According to the affidavit filed in support of the writ petition, the Factory consists of buildings wherein the machinery was installed, Godown, Electrical rooms, Workshop, sub-station, Laboratory, Time Office, Security Post and other buildings. The total area actually occupied by the factory and the buildings above mentioned and utilised for the said purpose is of an extent of 2431. 99 Square metres. However, third respondent determined the assessment at 12 paise per square metre on the entire land of Ac. 30-02 cents which comes to Rs. 14,582-40 ps. and issued a notice of demand to the petitioner to pay the same. The demand also included an additional sum of Rs. 5,395-50 ps. towards cess calculated at 37 paise on the amount of assessment.

( 3 ) IT is further stated in the affidavit that the petitioner-company approached mandal Revenue Officer to direct the Mandal Revenue Inspector to visit the factory premises and fix the assessment in accordance with the provisions of the a. P. Non-Agricultural Lands Assessment Act, 1963 (hereinafter referred to as the Act ) on the land occupied by the factory. As nothing came out of it, the petitioner filed an appeal before the Mandal Revenue Officer - 2nd respondent herein, which was dismissed as time-barred. Questioning the said order, the petitioner filed a revision before the Revenue Divisional Officer and the same was dismissed on merits, inter alia, holding that the entire area of Ac. 30-02 cents has been obtained by the petitioner-company for the use of the Cement Factory and therefore, the non-agricultural land assessment can be levied on the entire area notwithstanding the fact that only an extent of 2,431-99 square metres alone was being actually occupied by constructions and structures and used for the cement Factory. The present writ petition was filed questioning the said order.

( 4 ) THE main point raised in the writ petition was that under the Act tax can be levied only in respect of the non-agricultural land which is actually used for the industrial purpose and not the other land which is not being used for any purpose.

( 5 ) A counter is filed resisting the writ petition on behalf of the respondents. According to the counter, non-agricultural land assessment is leviable on the entire extent of Ac. 30-02 cents and not on the actual extent of the land used. It is further stated in the counter that the order passed by the first respondent is valid and is in accordance with the provisions of the Act.

( 6 ) WHEN the writ petition came up for final disposal before a Division Bench consisting of M. N. Rao and D. Reddappa Reddy, JJ. a Judgment of a Division bench of this Court in The Associated Cement Companies Limited vs. Government of Andhra Pradesh was pressed into service in support of the contention raised on behalf of the petitioner-company. The contention was that the extent that is being actually used for industrial purpose viz. , the extent on which the factory and its buildings are constructed alone can be the subject matter of assessment under the provisions of the Act and not other

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