In a recent ruling the Calcutta High Court observed that the Writ Court has no authority to adjust Municipal Taxes, Repair and Maintenance Charges in the absence of a Specific Agreement.
The writ petitioners, Manoj Parmar and others, are the owners of one Parmar Building and the entire building has been let out to the Union of India for use by the Income Tax Department.The Executive Engineer, Central Public Works Department (CPWD) was designated as the authority to issue certificate of revised rent.
Subsequently, the Board of Finance (Income Tax) reduced the rent for the building to Rupees twenty-one thousand inclusive of Municipal Tax. The said order was challenged in a writ petition, which ultimately, the rule initially granted in the said writ petition was made absolute, against which the respondents preferred an appeal.
Thereafter the petitioners wrote a letter indicating that instead of paying the fair rent fixed by the Chief Engineer, CPWD the respondents had stopped paying rent and claimed rents as determined by the Chief Engineer, CPWD with arrears, etc.On the subsequent inaction of the respondents-Authorities to do so, the present writ petition has been preferred.
The counsel for the petitioners submitted that vide Office Memo, the rent was revised in terms of paragraph 134 of the CPWD Code. The Chief Commissioner, Income Tax, fixed the fair rent in terms of the CPWD recommendation.
By placing reliance on the Office Memo the counsel appearing for the respondents contended that even as per the fair rent decided by the Authorities, the Municipal Tax and maintenance and repair charges in respect of the dilapidated old building were payable by the landlords/petitioners.
The Court ofJustice Sabyasachi Bhattacharyya observed that “There is no scope of this Court adjusting such amount of Municipal Taxes and alleged repair and maintenance charges within the ambit of the present writ petition.”
The Court further went on to add that it is well-settled that unless there is a specific agreement between the lessor and lessee and/or landlord and tenant to the effect that repair and maintenance charges shall be adjusted from the rent, such adjustment cannot be claimed as a matter of right by the respondents/lessees.
“If the respondents are entitled to their claim of Municipal Taxes and repair and maintenance costs at all, it is the prerogative of the respondents to file a regular civil suit claiming such amounts” the Court said.
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