IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE C.N.RAMACHANDRAN NAIR WEDNESDAY, THE 2ND AUGUST 2006 / 11TH SRAVANA 1928 OP.No. 10839 of 2002(M) ----------------------- PETITIONER: ------------ T.O.ALEYAS,TRUSTEE,THE MALANKARA SYRIAN KNANAYA ASSOCIATION,CHINGFAVANAM,KOTTAYAM BY ADV. SRI.V.N.ACHUTHA KURUP RESPONDENTS: ------------- 1. STATE OF KERALA,REPRESENTED BY THE CHIEF SECRETARY,GOVERNMENT OF KERALA, THIRUVANANTHAPURAM. 2. THE TAHSILDAR,KOTTAYAM. BY GOVERNMENT PLEADER SRI. GEORGEKUTTY MATHEW THIS ORIGINAL PETITION HAVING BEEN FINALLY HEARD ON 02/08/2006, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: 2 ORDER ON CMP 19069 OF 2002 IN OP 10839 OF2002 DISMISSED 2.8.2006 SD/-C.N.RAMACHANDRAN NAIR, JUDGE. APPENDIX PETITIONER'S EXHIBITS: EXT.P1 TRUE COPY OF THE REPLY FILED BY THE PETITIONER BEFORE THE 2ND RESPONDENT DATED 20.12.2000 EXT.P2 TRUE COPY OF THE NOTICE NO. B8(1) 8075/2000 DATED 8.10.2001 ISSUED BY 2ND RESPONDENT. EXT.P3 TRUE COPY OF THE ORDER NO. B8(1) 8075/2000 DATED 27.10.2001 ISSUED BY 2ND RESPONDENT. EXT.P4 TRUE COPY OF THE NOTICE NO. B8(1) 8075/2000 DATED 27.10.2001 ISSUED BY 2ND RESPONDENT. EXT.P5 TRUE COPY OF THE NOTICE NO. B8(1) 8075/2000 DATED 21.3.2002 ISSUED BY 2ND RESPONDENT. RESPONDENTS' EXHIBITS: NIL TRUE COPY P.S. TO JUDGE. C.N.RAMACHANDRAN NAIR,J. -------------------------------------------- O.P.NO.10839 OF 2002 -------------------------------------------- Dated this the 2nd day of August, 2006 JUDGMENT Petitioner is challenging recovery proceedings for recovery of building tax assessed in respect of a three storied building. According to the petitioner, building is owned by a religious trust and is therefore entitled to exemption. The prayer in the O.P. is for a direction to the Tahsildar to refer the question for decision by Government under Section 3(2) of the Building Tax Act. I heard counsel for the petitioner and Government Pleader. I do not think there is any scope for reference to the Government because most of the related issues are decided by this Court. The settled position is that mere ownership of building by a religious or charitable institution does not entitle it for exemption. However, exemption has to be considered with reference to principal use of the building, and if the building is principally used for religious or charitable purpose, it is entitled to exemption. Petitioner has admitted that building is partly let out to tenants and if that be so, such portion of the building certainly can be assessed to building tax, no matter whether the rental income is used for religious or charitable purpose or not. However, the portion of the building used for 2 residence of priests or running religious school, etc., should be granted exemption as those are religious purposes. It has been held by this Court that a building constructed by a Church generally let out to others on all days except Sunday, but used on Sundays for running Sunday School will also be assessable to building tax, as 52 days use in a year, that is for running Sunday School, does not amount to principal use of the building. In the circumstances, Tahsildar is directed to conduct inspection of the building, verify the use of every portion of the building and complete assessment for the portions let out and grant exemption for those portions which are used principally for religious purposes. Tahsildar will issue notice, conduct inspection and issue a detailed order of adjudication giving reasons thereof to enable the petitioner to contest the same if he has any grievance, within two months from the date of production of a copy of this judgment by the petitioner. Recovery proceedings will remain stayed till fresh orders are issued as above and recovery thereafter will be based on fresh orders of adjudication to be issued by the Tahsildar. O.P. is disposed of as above. \(C.N.RAMACHANDRAN NAIR) Judge 3