- 1 - NC: 2025:KHC-D:1263 WP No. 100260 of 2025 IN THE HIGH COURT OF KARNATAKA, DHARWAD BENCH DATED THIS THE 23RD DAY OF JANUARY, 2025 BEFORE THE HON'BLE MR. JUSTICE SURAJ GOVINDARAJ WRIT PETITION NO. 100260 OF 2025 (LB-TAX) BETWEEN: 1. THE KARNATAKA LINGAYAT EDUCATION SOCIETY, BELGAUM, KLE SOCIETY, COLLEGE ROAD, REPRESENTED BY ITS SECRETARY, DISTRICT: BELAGAVI, SRI. B.G. DESAI, AGE: 63 YEARS, OCC: SECRETARY, R/O. BELAGAVI-590001. 2. K.L.E. SOCIETY’S G.I. BAGEWADI ARTS, SCIENCE AND COMMERCE COLLEGE, NIPPANI, TALUK: CHIKODI, DISTRICT: BELAGAVI-591237 BY ITS PRINCIPAL MAHANTESH HURALI, AGE: 55 YEARS, OCC: PRINCIPAL. …PETITIONERS (BY SRI. MALLIKARJUNSWAMY B. HIREMATH AND SMT. GAYATRI S.R., ADVOCATES) AND: 1. THE STATE OF KARNATAKA, DEPARTMENT OF URBAN DEVELOPMENT, BY ITS PRINCIPAL SECRETARY, VIDHANA SOUDHA, DR. AMBEDKAR VEEDHI, BENGALURU-01. 2. THE TOWN MUNICIPAL COUNCIL, NIPPANI, BELAGAVI, BY ITS COMMISSIONER-590002. …RESPONDENTS (BY SRI. V.S. KALASURMATH, AGA FOR R1; SRI. R.K. KULKARNI, ADVOCATE FOR R2) GIRIJA A BYAHATTI Digitally signed by GIRIJA A BYAHATTI Date: 2025.01.24 16:35:53 +0530 - 2 - NC: 2025:KHC-D:1263 WP No. 100260 of 2025 THIS WRIT PETITION IS FILED UNDER ARTICLE 226 OF THE CONSTITUTION OF INDIA PRAYING TO ISSUE A WRIT IN THE NATURE OF CERTIORARI QUASHING THE IMPUGNED NOTICES ISSUED BY THE 2ND RESPONDENT WHICH ARE PRODUCED AT ANNEXURE-D TO ANNEXURE - D19 DEMANDING PROPERTY TAX IN RESPECT OF PROPERTY BEARING PID NO. 2-3-525-51C, 2-3-525-54, 2-3-525-55, 2-3-525-59, 2-3-525-60, 2-3-525-58, 2-3-525-57, 2-3- 525-56B, 2-3-525-56A, 2-3-525-51B, 2-3-525-53, 2-3-525-51A, 2- 3-525-52, 2-3-4-17A, 2-3-4-15D, 2-3-4-15C, 2-3-4-15B, 2-3-4-17, 2-3-4-15A AND 2-3-4-15; AND ISSUE A WRIT IN THE NATURE OF MANDAMUS DIRECTING THE RESPONDENT NO.2 TO PASS AN ORDERS EXEMPTING THE EDUCATIONAL INSTITUTIONS FROM PAYING PROPERTY TAX UNDER SECTION 94 OF KARNATAKA MUNICIPALITIES ACT; ISSUE A WRIT IN THE NATURE OF MANDAMUS DIRECTING THE RESPONDENT NO.2 TO REFUND THE TAX COLLECTED BY THE PETITIONER TILL DATE AND ETC. THIS PETITION, COMING ON FOR ORDERS, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: ORAL ORDER (PER: THE HON'BLE MR. JUSTICE SURAJ GOVINDARAJ) 1. Learned counsel for the petitioner submits that Court fee has been paid. Registry to verify. 2. The petitioner is before this Court seeking for the following relief: - 3 - NC: 2025:KHC-D:1263 WP No. 100260 of 2025 a. Issue a writ in the nature of certiorari quashing the impugned notices issued by the 2nd respondent which are produced at Annexure-D to Annexure - D19 demanding property tax in respect of property bearing PID No. 2-3-525-51C, 2-3-525-54, 2-3-525-55, 2-3-525-59, 2-3-525- 60, 2-3-525-58, 2-3-525-57, 2-3-525-56B, 2-3- 525-56A, 2-3-525-51B, 2-3-525-53, 2-3-525- 51A, 2-3-525-52, 2-3-4-17A, 2-3-4-15D, 2-3-4- 15C, 2-3-4-15B, 2-3-4-17, 2-3-4-15A and 2-3-4- 15;and ‘ b. Issue a writ in the nature of Mandamus directing the respondent No.2 to pass an orders exempting the educational institutions from paying property tax under Section 94 of Karnataka Municipalities Act; c. Issue a writ in the nature of Mandamus directing the Respondent No.2 to refund the tax collected by the petitioner till date. d. Issue such other writ or order as deemed fit in the interest of Justice and Equity. 3. The grievance of the petitioner is that a demand has been raised by the 2nd respondent-Town Municipal Council, Nippani for payment of property tax in respect of the buildings belonging to the petitioner even though they have been used exclusively for education purposes. 4. The submission of Sri R.K. Kulkarni, learned counsel for respondent No.2 however is that several of the - 4 - NC: 2025:KHC-D:1263 WP No. 100260 of 2025 properties are not used exclusively for education purposes, some of the buildings have been rented out for a bank used for the purposes of hostel etc., where rentals are charged. 5. Even if the submission of Sri R.K.Kulkarni is accepted, the Town Municipal Council cannot raise a demand on the entire properties which are exclusively used for education purposes as held by this Court in its order dated 23.05.2023 in W.P.No. 87922 of 2012. An educational institution, who uses a premises exclusively for education purposes, is not liable to make payment of property tax in view of Section 94(1-A)(i) of the Karnataka Municipalities Act, 1964, in that view of the matter, an omnibus demand made as regards the entire property of the petitioner is not sustainable, as such, I pass the following : ORDER (i) Writ petition is allowed. - 5 - NC: 2025:KHC-D:1263 WP No. 100260 of 2025 (ii) Writ of certiorari is issued. Impugned notices issued by respondent No.2 vide Annexures-D to D19 demanding of property tax in respect of property bearing PID No.2-3-525-51C, 2-3-525-54, 2-3- 525-55, 2-3-525-59, 2-3-525-60, 2-3- 525-58, 2-3-525-57, 2-3-525-56B, 2-3- 525-56A, 2-3-525-51B, 2-3-525-53, 2-3- 525-51A, 2-3-525-52, 2-3-4-17A, 2-3-4- 15D, 2-3-4-15C, 2-3-4-15B, 2-3-4-17, 2- 3-4-15A and 2-3-4-15 are quashed. (iii) Liberty is reserved to respondent No.2 to conduct a survey and identify the properties which are not exclusively used for education purposes and raise demand in respect of those properties which are used for commercial purposes and not used exclusively for education purposes. - 6 - NC: 2025:KHC-D:1263 WP No. 100260 of 2025 (iv) In view of disposal of petition, pending application, if any do no survive for consideration, hence same are also disposed off. Sd/- (SURAJ GOVINDARAJ) JUDGE CKK CT-MCK List No.: 1 Sl No.: 12