1. These writ petitions are filed by schools affiliated to the CBSE and they say that they are entitled to be exempted from the levy of property tax payable under the provision of Section 235 of the Kerala Municipality Act, 1994. Section 235(d) as it originally stood provided that the buildings recognised by Government or registered with the Municipality and owned and occupied by educational institutions and used for teaching are exempted from property tax. However, Section 235 was substituted by Act 30 of 2009 w.e.f. 7/10/2009 and the substituted section 235(b) reads thus:

"235. Exemption from property tax, service cess etc-The following buildings and lands shall be exempted from the property tax as may be levied under section 233 and service cess as may be levied under sub-section (4) of section 230, namely:-

(a) .............

(b) buildings exclusively used for educational purposes or allied purposes under the ownership of educational institutions owned by the Government, aided or functioning with the financial assistance of the Government and the hostel buildings wherein the students of the said institutions reside."

2. Nobody has a case that the petitioners are educational institutions owned by the Government, aided or is functioning with the financial assistance of the Government. If that be so, they are not exempted from the levy of property tax and the claim of exemption is untenable.

3. However in so far as WP(C) No. 4028/10 is concerned, Exts.P1 and P2 demand notices show that the property tax demanded is for the period from 2006-07 to 2009-10. Similarly, Exts.P4 and P5 demand notices produced in WP(C) No. 14368/11 show that the property tax demanded is for the period from 2007-08 to 2010-11. As already stated, until 7/10/2009 when Section 235 was substituted, Section 235(d) as it stood then entitled the petitioners for exemption. The substitution of the section being only prospective, the liability for property tax can arise only for the period subsequent to 7/10/2009. Consequently, the demands for property tax for the period prior to 7/10/2009 are unsustainable.

Accordingly, the writ petitions are disposed of quashing Exs.P1 and P2 in WP(C) No. 4028/10 and Exts.P4 and P5 in WP(C) No. 14368/11 and directing that the Punalur Municipality, the 2nd respondent in these cases will issue fresh demands for property tax in the light of the findings hereinabove.