MP HC Bins Plea Challenging Probe Into Illegal Toll Tax Collection By Gram Panchayat, Flags Ambiguity Over Types Of Vehicles In Statute
6 months, 1 week ago

MP HC Bins Plea Challenging Probe Into Illegal Toll Tax Collection By Gram Panchayat, Flags Ambiguity Over Types Of Vehicles In Statute

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The Madhya Pradesh High Court has dismissed a writ petition filed by the Gram Panchayat Hargarh, challenging the Sub Divisional Officer's directive to investigate illegal toll tax collection. Panchayat Raj Avam Gram Swaraj Adhiniyam, which authorizes Panchayats to collect fees on vehicles other than motor vehicles. They are propelled by motors and motor vehicles are exempted from tax under Entry 8, therefore, Gram Panchayat could not have levied fees on Dumpers and Trucks which fall within definition of Motor Vehicles Act which enter the village.” The court further emphasized the ambiguity in Entry 8 of Schedule II, stating that while the provision allows taxation on non-motorized vehicles, it fails to specify the type of vehicles clearly. They are propelled by motors, and motor vehicles are exempted from tax under Entry 8.” Background In the petition, the Gram Panchayat argued that it had lawfully imposed tolls per Section 77-A of the M.P.

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