Thursday 27 October 2016

Kochi HC Strikes Down 'Mangalya Nidi' Tax on Weddings


Kerala High Court has struck down as unconstitutional the state government's decision to levy a 'Mangalya Nidi' cess on weddings and associated celebrations from auditoriums and hotels of three star category and above.

Allowing a batch of petitions filed by owners of auditoriums of Kollam and Kasaragod districts, challenging the government's decision to levy the cess, Justice K Vinod Chandran observed that the levy was not a fee and could only be treated as tax.

The court held that the legislation was ultra vires of the power of the state legislature as conferred by the Constitution and the state has 'no right to levy and collect the cess'.

The petitioners had submitted that it was a tax on marriage for which the state legislature had no jurisdiction. The cess would offend the practising religion as the functions related to marriages were part of religious ceremonies.

Kerala Finance Minister K M Mani had in the 2013 budget introduced the three per cent cess on the expenses related to celebrations held in connection with marriages.

However, later a fixed slab was introduced at Rs 10,000 for AC auditoriums and Rs 5000 for non-AC auditoriums in corporation and municipal areas. Cess of Rs 7500 and Rs 3000 were levied in panchayat areas for AC and Non-AC auditoriums respectively.

The government stated that funds generated from the cess would be used for providing financial help to those belonging to poor families to conduct marriages.

© Copyright PTI. All rights reserved. Republication or redistribution of any PTI content, including by framing or similar means, is expressly prohibited without their prior written consent.
PMO Rubbishes Reports of Misconduct of HM's Son As 'Plain Lies' Curfew in Parts of Kashmir, Youth Killed, Toll Rises to 58
Download the Outlook ​Magazines App. Six magazines, wherever you go! Play Store and App Store

Post a Comment

You are not logged in, please Log in or Register
  • Daily Mail

More than a decade after India first started the procurement process, it has finally inked an €8bn agreement to buy 36 Rafale fighter jets from France’s Dassault. The original deal was to buy 126 Rafales to replace the accident-prone Russian MiG-21s. Ultimately, the government offered to buy only 36 ready-to-fly planes.

POLL STARTED ON: Sep 26, 2016
Brazil’s Rio de Janeiro is hosting the 31st Olympic Games from August 5 to 21. This is the first Olympics being held in South America and is going on even as a majority Brazilians are unhappy with their rulers. Here’s a quiz on some random Olympic facts and related trivia.
QUIZ STARTED ON: Aug 11, 2016