Ashik A. Shukoor vs. The Adoor Municipality
Held
The Court ruled that the contract was frustrated by the intervening introduction of GST, and the Municipality could not withhold the proportionate refund. It directed the Municipality to refund Rs. 3,58,049/- to the petitioner within one month.
Facts
The petitioner, a contractor for collecting Advertisement Tax for Adoor Municipality for 2017-2018, sought a proportionate refund after the contract was frustrated by the introduction of GST on July 1, 2017, preventing him from collecting tax for the full period.
Key Issues
Whether a public authority is liable to refund a proportionate amount to a contractor when their tax collection contract is frustrated due to the introduction of GST.
AI-generated summary — verify with the full judgment below
IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.MUHAMED MUSTAQUE MONDAY, THE 21ST DAY OF DECEMBER 2020 / 30TH AGRAHAYANA, 1942 WP(C).No.39618 OF 2018(B) PETITIONER: ASHIK A. SHUKOOR, AGED 30 YEARS ASHIK MANZIL, EDATHARA, KALANJOOR P.O, PATHANAMTHITTA 689 694 BY ADVS. SRI.G.BHAGAVAT SINGH SRI.ANWIN SHAJ RESPONDENTS: 1 THE ADOOR MUNICIPALITY REPRESENTED BY THE SECRETARY, ADOOR P.O, PATHANAMTHITTA 691 523 2 THE SECRETARY, ADOOR MUNICIPALITY, ADOOR P.O, PATHANAMTHITA 691 523 3 THE STATE OF KERALA, REPRESENTED BY THE SECRETARY TO GOVERNMENT, DEPARTMENT OF FINANCE, SECRETARIAT, THIRUVANANTHAPURAM 695 001 R1 BY SRI.K.SHAJ,SC,ADOOR MUNICIPAL COUNCIL S GOPINATHAN SR GP THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 21.12.2020, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
WP(C).No.39618 OF 2018(B) ..2.. JUDGMENT Dated this the 21st day of December 2020 The petitioner was a contractor for collecting Advertisement Tax for the financial year 2017-2018 of Adoor Municipality, Pathanamthitta District. The petitioner could not collect the Advertisement Tax for the entire period on account of the introduction of GST w.e.f. 1.07.2017. Accordingly
The judgment continues below.
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