THE STATE OF MAHARASHTRA versus SHRI VILE PARLE KELVANI MANDAL & ORS.

Citation: [2022] 1 S.C.R. 160 · Decided: 07-01-2022 · Supreme Court of India · Bench: M.R. SHAH · Disposal: Appeal(s) allowed

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Judgment (excerpt)

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SUPREME COURT REPORTS
[2022] 1 S.C.R.
[2022] 1 S.C.R. 160
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THE STATE OF MAHARASHTRA
v.
SHRI VILE PARLE KELVANI MANDAL & ORS.
(Civil Appeal No. 7319 of 2021)
JANUARY 07, 2022
[M. R. SHAH AND SANJIV KHANNA, JJ.]
Maharashtra Electricity Duty Act, 2016: s.3(2)(iii) – Exemption
from electricity duty under – Entitlement of charitable institutions
running the educational institutions – Held: Under 2016 Act,
electricity duty on the consumption charges or energy consumed
for the purposes of, or in respect of a school or college or institution
imparting education or training, student’s, hostels run by any local
bodies shall alone be exempted from levy of electricity duty – The
State Government and the Central Government are also specifically
excluded from payment of electricity duty – However, the public
sector undertakings are not exempted from payment of electricity
Act – Therefore, under s.3(2) of the 2016 Act, the charitable
institutions running the educational institutions are not exempted
from payment of electricity duty, which as such was specifically
exempted under s.3(2)(iiia) of the 1958 Act – The language and
words used in s.3(2) are plain and simple and are capable of only
one definite meaning that there is no exemption provided under the
2016 Act from levy of electricity duty so far as the charitable
education institutions are concerned.
Interpretation of statutes: Where the words are clear and
unambiguous, recourse cannot be had to principles of interpretation
other than the literal view – The exemption provision need to be
interpreted literally and when the language used in exemption
provision is simple, clear and unambiguous, the same has to be
applied rigorously, strictly and literally – Maharashtra Electricity
Duty Act, 2016 – s.3(2)(iii).
Allowing the appeal, the Court
HELD: 1. As per Section 16 of the 2016 Act, on coming
into force of the 2016 Act, the Maharashtra Electricity Duty Act,
1958 stood repealed subject to the eventualities mentioned in
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Section 16 of the 2016 Act. None of the eventuality mentioned in
proviso to Section 16 shall be attracted and/or applicable to the
facts of the case on hand in view of the specific provisions
providing for exemption from payment of the electricity duty as
per sub-section (2) of Section 3 of the 2016 Act. Therefore,
for the purpose of exemption from payment of electricity duty
on and after 01.09.2016, sub- section (2) of Section 3 of the
2016 Act shall have to be applied and shall be applicable.
[Para 11.1][178-D-E]
2. As per sub-section (2) of Section 3 of the 1958 Act, the
electricity duty was not leviable on the consumption charges or
the units of energy consumed by or in respect of charitable
institution registered under the Bombay Public Trusts Act, 1950,
for the purpose of, or in respect of, school or college imparting
education or training in academic or technical subjects (save in
respect of premises used for residential purposes) [Section
3(2)(iiia)]. Therefore, under the 1958 Act, the electricity duty
was not leviable on the consumption charges or the units of energy
consumed by or in respect of charitable institutions for the
purpose; in respect of school or college imparting education or
training in academic or technical subjects. Even as per Section
3(2)(ia), electricity duty shall not be leviable on the consumption
charges or the units of energy consumed by or in a respect of any
municipal corporation, municipality, municipal committee, town
committee, notified area committee, Cantonment Board, Zilla
Parishad or village panchyat constituted under any law for the
time being in force in the State, for the purpose of, or in respect
of a school or college imparting education or training in academic
or technical subjects, a hospital, nursing home, dispensary, clinic,
public street lighting, public water works and system of public
sewers or drains (save in respect of premises used for residential
purposes. However, there are material changes under the 2016
Act. As per Section 3(2) of the 2016 Act, even the public
undertakings are liable to pay the electricity duty. As per Section
3(2)(iii), electricity duty is not leviable on the consumption
charges or energy consumed, for the purposes of, or in respect
of a school or college or institution imparting education or
training, student’s, hostels, hospitals, nursing homes,
THE STATE OF MAHARASHTRA v. SHRI VILE PARLE KELVANI
MANDAL
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SUPREME COURT REPORT

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