HC stays Telangana’s special privilege fee on bars for 4 weeks
Hyderabad : Telangana high court has granted temporary relief to bar owners by staying, for four weeks, the implementation of a GO imposing a special privilege fee on bars, while examining the legality of the new levy challenged by more than 100 licence holders. Justice Namavarapu Rajeshwar Rao passed the interim order on Oct 30 while hearing two writ petitions filed by bar owners from the erstwhile Warangal district challenging the fee introduced by the excise department through the GO issued on Oct 19. The court adjourned the matter to Nov 27 for further hearing.
Senior counsel P Vishnuvardhan Reddy, appearing for the petitioners, argued that the govt lacked statutory authority under the Excise Act and the rules framed thereunder to impose the new levy. After hearing both sides, Justice Rajeshwar Rao granted an interim stay on the implementation of the GO for four weeks and posted the matter for further hearing after the expiry of the stay period.
He contended that the fee was illegal and contrary to earlier judgments of both the high court and the Supreme Court on similar issues.