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BECHU KURIAN THOMAS
Georgekutty P. J. , S/o. Joseph – Appellant
Versus
State Of Kerala, Represented By Its Principal Secretary To Govt. , Revenue And Tax Department, govt. Secretariat, thiruvananthapuram – Respondent
JUDGMENT :
(Bechu Kurian Thomas, J.)
Petitioner challenges Ext.P14 order, rejecting the claim for exemption from building tax.
2. Petitioner claims to be the Managing Partner of an establishment by name M/s.Spinner Marketing as well as the Managing Director of a company by name M/s.Spinner Plastic Industries Limited. It is alleged that both the aforesaid establishments are engaged in the manufacturing of various products of rubber and plastics in the name and style as “Spinner”.
3. Pursuant to a building permit bearing No.PW1-BA(312354)/2019, petitioner constructed a three storied building which was granted occupancy certificate on 01.07.2021. In the meantime, petitioner was issued with a notice to submit returns under Section 7(1) of the Kerala Building Tax Act, 1975 [for brevity, ‘the Act’], as per Ext.P3. On the basis of the said notice, petitioner filed Ext.P4, claiming exemption from building tax under Section 3(1)(b) of the Act, stating that the building is principally used as a factory for manufacturing and processing. Without considering the claim for exemption, the 4th respondent assessed the petitioner’s building to tax as per Ext.P11.
4. Since the claim for exemption was not
The absence of evidence for manufacturing activity in a building justifies the rejection of a claim for exemption from building tax under the Kerala Building Tax Act.
Statutory authorities must refer exemption claims to the Government if raised during assessments under the Kerala Building Tax Act, ensuring compliance with mandatory procedural obligations.
The court established that premises engaged in pumping oil qualify as a factory under the Factories Act, thus entitling them to exemption from building tax under the Kerala Building Tax Act.
Point of Law : Section 3(1)(b) of Act buildings used principally for religious, charitable or educational purposes or as factories or workshops or cattle/pig/poultry farms or poly houses.
The exemption under the Kerala Building Tax Act applies regardless of whether the property is rented out, as long as it is used for industrial purposes.
The court recognized that a building primarily used for providing free accommodation to retired clergy can qualify for tax exemption under charity provisions, regardless of limited access to certain ....
Assessments under local tax statutes require proper adjudication, especially regarding claims for exemptions based on charitable use.
Public companies do not qualify for tax exemptions reserved for State-owned entities under the Kerala Building Tax Act, 1975.
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