Recovery

Section 138 to 146A

DIFFERENT MODES OF TAX RECOVERY
• Recovery of tax from persons holding money
on behalf of an assessee [section 140]
• Recovery of tax out of property and through
arrest of tax payer [section 138]
• Recovery of tax by District Officer (Revenue)
[section 138A]
Recovery of tax from persons holding money
on behalf of an assessee
For the purpose of recovering any tax due by a taxpayer, the
Commissioner may, be notice, in writing, require any person:-
a) Owning or who may owe money to the tax payer; or
b) Holding or who may hold money for, or on account of the
taxpayer;
c) Holding or who may hold money on account of some other
person for payment to the taxpayer; or
d) Having authority of some other person to pay money to the
taxpayer, to pay the Commissioner so much of the money
and by the date as set out in the notice
 Recovery of tax out of property and through
arrest of taxpayer
For the purpose of recovering any tax due by a taxpayer, the Commissioner can
serve upon the taxpayer a notice in the prescribed form requiring him to pay the
said amount within such time as may be specified in the notice.
If the amount referred to in the notice mentioned above id not paid within the
time specified therein or within the further time, if any, allowed by the
Commissioner, one or more of the following modes, namely:-
a) Attached and sale of any moveable or immoveable property of the taxpayer:
b) Appointment of a receiver for the management of the moveable or
immoveable property of the taxpayer; and
c) Arrest of the taxpayer and his detention in prison for a period not exceeding
six months.
For this purpose of recovery of tax under section 138(2), the Commissioner shall
have the same powers as a Civil Court has under the Code of Civil Procedure
Recovery of tax by District Officer (Revenue)

The Commissioner can forward to the District

Officer (Revenue) of the district in which the
taxpayer reside or carries on business or in which
any property belonging to the taxpayer is situated,
a certificate specifying the amount of any tax due
from the taxpayer, and, on receipt of such
certificate, the District Officer (Revenue) will
proceed to recover from the taxpayer the amount
so specified as if it were an arrear of land revenue.