Royal Suiting Emporium & Anr vs. Union Of INDIA &Ors
Facts
The petitioners, Royal Suiting Emporium & Anr., are seeking payment of rent for a property. The dispute concerns the determination of the reasonable rent payable, the period for which it is applicable, and whether it should be calculated on carpet area or super built area. A Rent Negotiation Committee, constituted with the approval of the Department of Revenue, recommended rent rates of Rs. 58/- per sq. ft. per month from 01.04.2008 and Rs. 61/- per sq. ft. per month from 01.04.2013. For the period 01.12.2002 to 01.12.2007, the reasonable rent was assessed not to be less than Rs. 39/- per sq. ft. plus CMC taxes. A letter dated 16.01.2017 from the Secretary, Ministry of Finance, Department of Revenue, resolved the dispute regarding carpet area versus super built area in favour of the latter.
Held
The Court noted that both parties were agreeable to the rent determined by the Rent Negotiation Committee. The Committee recommended a reasonable rent of Rs. 58/- per sq. ft. per month effective from 01.04.2008 and Rs. 61/- per sq. ft. per month effective from 01.04.2013. For the period 01.12.2002 to 01.12.2007, the reasonable rent was assessed not to be less than Rs. 39/- per sq. ft. plus CMC taxes. The dispute regarding whether rent was payable in respect of the Carpet Area or Super Built Area was resolved in favour of the Super Built Area, as per a letter dated 16.01.2017 from the Secretary, Ministry of Finance, Department of Revenue. The Court directed the respondent authorities to pay the agreed rent, along with Kolkata Municipal Taxes and applicable GST, to the petitioners within four weeks. The respondent authorities are to continue paying rent at the indicated rates for subsequent periods, and the petitioners are to provide bills for KMC taxes.
Key Issues
1. Whether the rent payable should be calculated based on the carpet area or the super built area, and what is the applicable rent for the period 01.12.2002 to 01.12.2007, and from 01.04.2008 onwards, including the applicability of Kolkata Municipal Taxes and GST. Petitioner's contention: The petitioners rely on the recommendations of the Rent Negotiation Committee and the letter from the Ministry of Finance to establish the agreed-upon rent and the basis of calculation (super built area). They seek payment of rent along with Kolkata Municipal Taxes and applicable GST. Revenue's contention: The Revenue, represented by the Union of India and other respondents, appears to have agreed to the rent as determined by the Rent Negotiation Committee and the Ministry of Finance's clarification, as both parties are stated to be agreeable to the rent agreed upon by the Committee.
Sections Cited
Not specified
AI-generated summary — verify with the full judgment below
Ct. 05 Item No.21 19.07.2022 (suvendu) WPA 7667 of 2018 With CAN 1 of 2022
Royal Suiting Emporium & Anr. Vs. Union of India & Ors. Mr. Abhrajit Mitra Mr. Satadeep Bhattacharyya Ms. I. Hassan Mr. Subhajit Ghosh ……….for the petitioners Mr. Indrajit Dasgupta Ms. Sanchita Barman Ray …..for the UOI
After hearing learned counsel, it appears that both the parties are agreeable to the rent agreed upon by the Rent Negotiation Committee constituted under the approval of the Department of Revenue and the recommended rent pursuant to the meeting of the said Committee held on 22.07.2015 and 16.09.2015. The recommended reasonable rent was to be Rs. 58/- per sq. ft. per month with effect from 01.04.2008 and Rs. 61/- per sq. ft. per month with effect from 01.04.2013. The reasonable rent was assessed for the period of 01.12.2002 to 01.12.2007 and should not be less than Rs. 39/- per sq. ft. + CMC taxes. The dispute whether the rent was to be payable in respect of the Carpet Area or Sup
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