TOLLS - LEVY OF

 

olls Act, 1851 –Levy of toll on bridges – State Government cannot take into account stationary cost,  interest on stationary cost and maintenance  and interest payable on account of actual expenditure incurred in construction of road bridge.

 

It is only with reference to the jurisprudential meaning of the  word “toll” that the State Government  must justify the levy with reference to the benefit conferred on the public by construction of bridge for the valid imposition of toll, there must be corresponding benefit. If the investment is made with borrowed money and the borrowed money is repayable in instalments, then interest shall be charged only on the balance of the borrowed sum after repayment of the installment of the loan. [State of U.P. vs. Devi Dayal Singh. AIR 2000 SC 961. S.P.Bharucha , S.N.Phukan and Mrs. Ruma Pal (J&J)]

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