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2018 Supreme(P&H) 147
IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH
S.J. VAZIFDAR, AVNEESH JHINGAN, JJ.
Ardeep Kumar Batta - Petitioner
Versus
State of Haryana and others - Respondents
CWP No. 12804 of 2017
Decided On : 06-04-2018
For the Petitioner:Mr. Sandeep Goyal, Advocate,
For the Respondent: Ms. Mamta Singh Talwar, DAG, Haryana.
The specified officer has the authority to seize and detain the vehicle until the payment of tax, penalty, or interest, and the final determination of penalty is by the Licensing Officer.
Headnote:
Motor Vehicle Tax - Seizure and Detention - Haryana Motor Vehicles Taxation Act, 2016, Sections 2(1)(a), (c), (j), (k), 3, 4, 9, 10, 13, 15, 18, 22
Fact of the Case:
The petitioner's tourist bus was seized and impounded for plying in the State of Haryana without payment of motor vehicle tax. The petitioner challenged the penalty imposed in the challan without a prior opportunity of hearing.
Finding of the Court:
The court held that the legislative scheme requires the specified officer to seize and detain the vehicle until the payment of tax, penalty, or interest. The final determination of the penalty is by the Licensing Officer, and the owner has the right to seek release of the vehicle and appeal against the decision.
Issues: Seizure and detention of vehicle without prior opportunity of hearing, validity of penalty imposition, time for payment of tax, compounding of offence
Ratio Decidendi: The specified officer has the authority to seize and detain the vehicle until the payment of tax, penalty, or interest. The final determination of penalty is by the Licensing Officer, and the owner has the right to seek release of the vehicle and appeal against the decision.
Final Decision: The petition was dismissed with liberty to the petitioner to appear before the Licensing Officer, i.e., the State Transport Authority, and seek the release of the vehicle. The application, if made, shall be determined in accordance with the law and as expeditiously as possible.
AVNEESH JHINGAN, J.
1. This petition has been filed for quashing a Challan dated 27.05.2017 (Annexure P-7) and for release of the vehicle impounded by the respondents.
2. The respondents are the State of Haryana; Transport Commissioner, Haryana; and the Challaning Officer of the State Transport Authority, Charkhi Dadri.
3. The petitioner is the owner of a tourist bus bearing registration No. RJ01-PA/1673. He provides transport services for carriage of passengers. The bus was checked on 27.05.2017 at Rohad (Haryana). Finding that the bus was plying in the State of Haryana without payment of motor vehicle tax, respondent No.3 issued the challan and impounded the vehicle.
4. The grievance raised in the present petition is that the penalty has been imposed in the Challan itself without providing any opportunity of hearing.
5. Before proceeding further, we may quote Sections 2 (1) (a), (c), (j) (k), 3, 4, 9, 10, 13, 15, 18 and 22 of the Haryana Motor Vehicles Taxation Act, 2016 (for short, ‘the Act') in so far as they are relevant :-
2. (1) In this Act, unless the context otherwise requires, -
(a) “appellate authority” means an authority constituted by the State Government, by notification in the Official Gazette, for the purposes of this Act;
(c) “licensing officer” means an officer appointed by the State Government for the purposes of this Act;
(j) “tax” means the tax leviable under this Act;
(k) “tax collection point” means a facility set up at the border of the State or at any other place in the State for receiving payment of tax made under this Act.
3. (1) Subject to other provisions of this Act, there shall be levied and collected a tax on all motor vehicles used or kept for use in the State, at such rates and penalties, as may be specified by the State Government, by notification, from time to time :
4. (3) No motor vehicle shall be used or kept for use in the State unless the tax levied under section 3 has been paid in respect of such vehicle.
9. The licensing officer may direct a notice to be served upon the owner requiring him to fill up and sign a declaration, to be endorsed with such notice, stating that owner is liable to the payment of tax and to pay the tax to which he appears by such declaration to be liable, to the person named therein before the expiry of fourteen days from the date of service of such notice.
10. (1) Where the tax due in respect of any motor vehicle has not been paid by the owner, within the specified time, then in addition to payment of the tax due, he shall also be liable to pay penalty, at such rate, as may be specified in the notification issued under section 3 :
Provided that the total amount of penalty shall not exceed twice the amount of tax due where a one-time tax is payable and five times the amount of tax due for a year where the tax is payable on any other basis.
(2) Where the owner of a motor vehicle fails to pay the tax due under section 3 or the penalty under sub-section (1), he shall in addition to the amount of tax and penalty, be liable to pay simple interest on the amount of tax due and penalty, at the rate of one and half percent per month, from the date immediately following the last date for the submission of declaration as provided in section 4 or from the date specified in the order passed by the licensing officer imposing the penalty, or, if no period is specified in the order then from the 15th day from the date of the order, as the case may be, to the time till the default continues.
13. (1) Any officer specified by the State Government may require the driver of a motor vehicle in any public place to stop that motor vehicle and cause it to remain stationary so long as may reasonably be necessary for the purpose of satisfying himself that the tax has been duly paid in respect of such motor vehicle.
(2) The officer referred to in sub-section (1) may use such force or cause to
