For now, Karnataka High Court allows levying fee for building plan sanction based on guidance value
A Bench comprising Chief Justice Vibhu Bakhru and Justice C.M. Joshi passed the interim order on an appeal filed by the BBMP challenging the single judge's verdict, which had set aside amendments to the BBMP Act to levy these fees based on the 'guidance value.'
To refund
However, the Bench made it clear that the BBMP will have to refund the fees that it collects during the pendency of the proceedings if the final judgement on the appeal goes against the BBMP.
The single judge had said that services related to the sanction of plan for building construction rendered by the BBMP had nothing to do with the market value of the property.
He had said there was no logic in linking rates with the guidance value of the properties in different areas, notified by the government under the Karnataka Stamp Act for the collection of stamp duty, while emphasising that at best, a uniform rate can be levied depending upon the size of the plot and the extent of constructions.
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