Representation on Waiver of Interest on Property Tax Arrears: AP HC directs Municipal Corporation not take Coercive Steps [Read Order]
AP HC directs Municipal Corporation not to take coercive steps in the matter concerning representation on waiver of interest on property tax arrears
Andhra Pradesh High Court – Municipal Corporation – Property Tax – Property Tax Arrears – taxscan
Andhra Pradesh High Court – Municipal Corporation – Property Tax – Property Tax Arrears – taxscan
The Andhra Pradesh High Court directed the Municipal Corporation not to take coercive steps in the matter concerning representation on waiver of interest on property tax arrears.
The grievance of the petitioner is non-consideration of the petitioner’s representation dated 21.03.2023 for waiver of penal amount to a tune of Rs.9,91,593/- which was adjusted out of the deposited amount as per the Court orders towards late payment penalty and not giving credit to the same while paying the amounts i.e., Rs.25,09,386/-.
The counsel for the petitioner, K. Jyothi Prasad, contended that by virtue of G.O.Ms.No.34 the Corporation has to adjust Rs.9,91,593/- (which was paid towards penalty) which was collected by the authorities for which the petitioner is entitled as waiver. So far, the said amount was not adjusted by the Corporation. In view of the same, the petitioner made a representation dated 21.03.2023 and the same was not disposed of by the Corporation.
It was submitted that for the present year, the Government issued another G.O wherein, the petitioner can waive off the interest accumulated on arrears of property tax dues up to the year 2023-24 as one time measure and the interest amount already paid by the tax payers on arrears and on current year’s property tax demand during the year 2023-24 be adjusted towards the future property tax payments and no cash refund shall be made, subject to clearance of all dues by 31.03.2024. Due to non disposal of the petitioner’s representation by the Corporation, the petitioner is unable to make any application in that regard.
On the other hand M.Manohar Reddy, Standing Counsel for Municipal Corporation submitted that, the petitioner without making any application availing the benefits of G.O.Ms.No.35 dated 29.02.2024, cannot raise any grievance against the Corporation. Once the petitioner makes an application claiming waiver by virtue of the said G.O, the authorities would consider and pass orders both on the application made by the petitioner and also on the representation dated 21.03.2023.
A Single Bench of Justice Ravi Cheemalapati observed that “The petitioner seems to have been paid an amount of Rs.25,09,386/- which include penalty and interest on the property tax. Out of the said amount, the petitioner is entitled to refund Waiver amount (penalties & interest) of Rs.9,91,593/- by virtue of the Government Orders. For the current year, the Government has issued latest G.O.Ms.No.35 dated 29.02.2024 wherein, the last date for availing waiver is 31.03.2024 for payment of total arrears and current year tax in one lump sum or in instalments.”
The Court further directed the Municipal Corporation not to take any coercive steps and noted that “On such application, the authorities concerned shall adjudicate the same along with the petitioner’s representation dated 21.03.2023 and pass appropriate orders in accordance with law and communicate the same to the petitioner within a period of four (04) weeks from the date of receipt of the application made by the petitioner pursuant to G.O.Ms.No.35 dated 29.02.2024.”
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