IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE K.M.JOSEPH TUESDAY, THE 18TH NOVEMBER 2008 / 27TH KARTHIKA 1930 WP(C).No. 33755 of 2008(R) -------------------------- PETITIONER(S): ---------------------- DR.M.RATNAKARAN NAMBIAR, S/O.K.NARAYANAN NAMBIAR, AGED 60 YEARS, MANAGING TRUSTEE, SACHIDANANDA CHARITABLE MEDICAL TRUST, ANANDASRAMAM, KASARAGOD. BY ADV. SRI.M.RAMESH CHANDER RESPONDENT(S): ------------------------ 1. STATE OF KERALA, REPRESENTED BY SECRETARY TO GOVERNMENT (TAXES), TRIVANDRUM. 2. DISTRICT COLLECTOR, KASARAGOD. 3. TAHSILDAR, HOSDURG. BY GOVT. PLEADER SRI. BEJOY CHANDRAN. THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON 18/11/2008, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: K.M.JOSEPH, J. - - - - - - - - - - - - - - - - - - - - - - - - - WP.(C) No. 33755 of 2008 - - - - - - - - - - - - - - - - - - - - - - - - - Dated this the 18th day of November, 2008 JUDGMENT Petitioner challenges Exts.P4 and P5. The case of the petitioner is that the petitioner has filed Ext.P3 application seeking exemption under Section 3(1)(b) of the Kerala Building Tax Act. Apparently the petitioner claims that the hospital is to be a non-profit making institution. This is clear from Ext.P3 dated 28.2.2008. Thereafter Ext.P4 is issued by the Tahsildar stating that as per inquiry it is found that the petitioner is levying consultation fee, room rent and cost of medicines etc., and is not charitable in nature and it is found that the petitioner was not entitled to exemption under Section 3(1)(b) of the Kerla Building Tax Act. Ext.P5 is the assessment order issued on that basis. In view of the fact that the petitioner has raised a claim that it is using for charitable purpose, the Tahsildar was obliged in law to refer the matter to the Government under Section 3(2) of the Act and it is for the Government to decide the issue with notice to the petitioner. In such circumstances, Exts.P4 and P5 cannot be sustained and they are quashed. There will be a direction to the third respondent to refer the question to the first respondent within two weeks from the date of WPC.33755/2008. 2 receipt of a copy of this judgment. The first respondent will thereafter take a decision in the matter with opportunity of hearing to the petitioner within a period of two months from the date of receipt of the reference by the Tahsildar. The writ petition is disposed of as above. (K.M. JOSEPH, JUDGE) sb