Arrears Of Tax And Recovery Thereof

Any amount, otherwise than by way of advance tax specified as payable in a notice of demand under Section 156 shall be paid within 30 days of the service of the notice at the place and to the person mentioned in the notice. However, if the AO believes that it is detrimental to the revenue to allow the full period of 30 days he may, with the previous approval of the DC, ask the assessee to pay the demand within such less period as may be specified by him in the notice of demand. If the demand is not paid within the time mentioned above, the assessee shall be liable to pay simple interest at 1 % p.m. However, the AO may extend the time of payment, if an application is received before the expiry of such period. The Board may also reduce or waive the interest in suitable cases.

If the assessee does not pay the demand within the extended period he shall be deemed to be an assessee in default. In such a case, the assessee shall further be liable to a penalty which may be increased from time to time so, however, the total amount of penalty does not exceed the amount of tax in arrears under Section 221.


When an assessee is in default or is deemed to be in default in making a payment of tax the AO may forward to the Tax Recovery Officer a certificate under his signature specifying the amount of arrears due from the assessee and the Tax Recovery Officer on receipt of such certificate, shall proceed to recover from such assessee the amount specified therein by one or more of the modes mentioned below, in accordance with the detailed rules laid down in the Second Schedule to the Act.:

 

(a)     attachment and sale of the assessee’s movable or immovable property;


(b)     arrest of assessee and his detention in prison;

 

(c)     appointing a receiver for the management of the assessee’s movable and immovable properties.


The Tax Recovery Officer (TRO) is now empowered to start recovery proceedings on his ownself.

 

Notwithstanding the recovery proceedings under Section 222, the AO may recover the tax due


(a)     from such assessee from his ‘Salary’;

 

(b)     requiring any of the debtors of assessee to pay to the AO such sums as he may require towards arrears of tax;

 

(c)     applying to the court in whose custody there is money belonging to the assessee for payment to him of the entire amount sufficient to discharge the tax; or

 

(d)     by distraint and dale of movable property if duly authorised by the Commissioner or Chief CIT


The Income Tax Appellate Tribunal can grant stay of tax only upto a maximum period of 180 days by which date the appeal is to be disposed of.
 

 

 

 

 
 
 
 
GST (India)
F.A.Q. on GST
GST Forms Download
GST Compensation Law
GST Enrollment Process
GST Law & Act.
GST Rules
GST Schedule ( I to V )
IGST Law & Act.
GST A Practical Knowledgebase
Filing GST Return
Enroll & Registration with GST
GST Office Tool to File GST Return
LIBRARY @ Tax Management
TAX & INVESTMENT GUIDE FOR "NRI"- Non-Resident Indians !
GUIDE & FAQ @ TAX
GRAPHICAL PRESENTATION @ TAX
TIPS & TRICKS @ TAX
MANAGERIAL & FINANCIAL DECISIONS @ TAX
5 GOLDEN RULES OF TAX PLANNING
FAMILY TAX PLANNING
DEDUCTIONS FROM YOUR INCOME
EXEMPTED INCOMES
HUF - FORMATION, MANAGEMENT & TAX PLANNING
COMPUTATION OF GROSS TOAL INCOME
INCOME TAX @ GLANCE
MULTIPLE KNOWLEDGEBASE ON TAX
51 TIPS ON TAX PLANNING
APPEALS UNDER INCOME TAX
ASSESSMENTS
PENALTIES UNDER IT DEPATMENTS
TAX SAVING SCHEMES
TAX READY RECKONER
TAX RATES
PROSECUTIONS UNDER INCOME TAX DEPARTMENT
TAXATION SYSTEM IN INDIA
CHARITABLE & RELIGIOUS TRUST - TAXATION
PRESCRIBED FORMS WITH with Section / Rules
TAX @ KNOWLEDGE BASE !

Most Popular Links :

Clubing of Income Deduction U/s 80C
Allowances Us-17(3) Exemption-Salary
Tax Amendment-2015 Taxable Income
Clubing of Income Tax Deductions
HUF Deduction HUF Investment
Gift by HUF HUF Tax Planning Tips
Tax Saving Schemes Tax Planning Tips
Refund of Tax Fringe Benefit Tax-FBT
Return Filing Assessment / Scrutiny
Notice from I.T. Dept. Incomes Types @ TDS
Exemptions-Tax Returns “Summon” U/s 131
'Black Money' @ I.Tax Big Gifts To Be Taxed
'Appeals' under I.Tax Assessment @ I.Tax
Exempted Incomes Capital Gain
Business & Professions House Property
Salaries @ I.Tax Partnership Firm
'Penalty' under I.Tax Act. Tax Ready Reckoner
Charitable Trust Useful Links @ I.Tax
 

Disclaimer:
All efforts are made to keep the content of this site correct and up-to-date. But, this site does not make any claim regarding the information provided on its pages as correct and up-to-date. The contents of this site cannot be treated or interpreted as a statement of law. In case, any loss or damage is caused to any person due to his/her treating or interpreting the contents of this site or any part thereof as correct, complete and up-to-date statement of law out of ignorance or otherwise, this site will not be liable in any manner whatsoever for such loss or damage.

The visitors may click here to visit the web site of Income Tax Department for resolving their doubts or for clarifications

Tally.ERP9 Book Online Order Tally.ERP9 Book Content