The court affirmed that tax paid by petitioners for transport vehicles up to 31.03.2015 in one successor state is valid in both states, prohibiting double taxation thereafter.

ORDER :

Narsing Rao Nandikonda, J.

Though the parties are different, the relief and the issues involved in batch of Writ Petitions are common and they are being heard together and disposed by way of this common order

2. It is relevant to refer to the facts in the lead case i.e., W.P.No.29713 of 2015 as under.

The averments in the affidavit filed in support of the writ petition are that though the petitioner paid quarterly tax for quarter ending 01.07.2014 to 30.09.2014 in respect of State Wide Contract Carriage Permit for the vehicle bearing Registration No.AP-28-TC-0870, respondent No.7 is once again collecting the same and also quantifying the action of respondent No.5 demanding quarterly tax once again for the quarter ending 01.07.2014 to 30.09.2014 in respect of aforesaid vehicle by issuing check report to be illegal and contrary to G.O.Ms.No.43, dated 01.06.2014 and Section 101 of the Andhra Pradesh Re-organization Act, 2014 (for short, ‘the Act, 2014’).

3. It is case of the petitioner that he is the owner of vehicle bearing registration No.AP28-TC-0870 and obtained State-Wide Contract Carriage Permit, which is valid upto 08.05.2019. It is stated that on booking of passengers, the respondents used to ply the vehicles on the route Hyderabad to Bangalore and back. While the matter stood thus, the respondents are demanding to pay Tax in Telangana State because the vehicles are plying from Hyderabad to Bangalore via Telangana State. Since the petitioners’ have already paid Tax once again demanding the tax in Telangana State is illegal.

4. It is also stated that as per G.O.MS.No.43, dated 01.06.2014, issued by the Transport Department, Andhra Pradesh, wherein it was stated as follows:

“The Quarterly Tax paid for any quarter upto 31.03.2015 in any of the Successor States shall be deemed to have been paid for both the successor States and thereafter new Government to decide.”

5. It is further stated that as per the above mentioned G.O., the parties have to pay Tax in one State and in the successor State they are not liable to pay the tax till 31.03.2015. But, respondent No.5 is demanding to pay the tax and seizing the vehicles for non-payment of the tax. It is further stated that in the process, the petitioners are required to pay Double Tax to State as demanded by the respondents. It is stated that unless and until, this Court directs the respondents, they are not in a position to refund the tax or adjust the tax for future quarter. The petitioners also submitted representation on 04.08.2014 before the Licensing Authority contending that the tax paid by them is not reflecting in Telangana State though it has to be reflected in both the States thereby causing inconvenience and creating prejudice in Telangana State as no action has been taken on the same.

6. He further submits that in similar set of facts this Court had passed interim orders in W.P.M.P.Nos.26656 and 26657 of 2014 in W.P.No.21257 of 2014, dated 30.07.2014 directing the respondents to abide by G.O.Ms.No.43 dated 01.06.2014 and the petitioners seek similar relief from this Court.

7. Respondent No.3 filed counter-affidavit denying the averments made in the writ petition and stated that as per Section 101 of the State Re-organization Act, 2014, the Government of Telangana issued Notification vide G.O.Ms.No.02, Transport R&B (Tr.I) Department, dated 17.06.2014 duly adopting the Act, Rules and Notifications. It is further stated that the Government of Telangana issued Circular Memo No.586/Tr.I(1)/2014, dated 28.07.2014,