TaxTMI Login
Just a moment...
Press 'Enter' to add multiple search terms. Rules for Better Search
When case Id is present, search is done only for this
of 
of 
No Folders have been created
Are you sure you want to delete "My most important" ?
NOTE:
of of 
All Case Laws
of of All Case Laws
Note
Bookmark
Share
Don't have an account? Register Here
of <h1>Arbitrator's Charge Effectiveness & Tax Arrears Priority: Supreme Court Rulings</h1> <h3>Delhi Auto And General Finance (P.) Ltd. Versus Tax Recovery Officer And Others</h3> In Civil Appeal No. 2109 of 1978, the Supreme Court upheld the High Court's decision that a charge created by an arbitrator's award only becomes effective ... Recovery, Attachment, Debts Priority, Sales Tax Issues involved:1. Creation and effectiveness of charge by an arbitrator's award.2. Interpretation of a compromise decree creating a charge on properties.3. Priority of payment between a decree holder and the State for sales tax arrears.Civil Appeal No. 2109 of 1978:The Supreme Court held that a charge created by an arbitrator's award becomes effective only when made a rule of the court. In this case, the attachment by the Tax Recovery Officer preceded the court's rule on the award, thus upholding the High Court's decision.Civil Appeal No. 1083 of 1980:Regarding a suit for money recovery where an arbitrator created a charge on properties, the Court clarified that a compromise decree did not actually create a charge as per the Transfer of Property Act. The decree merely continued an injunction order until full payment. The Court emphasized that a charge automatically arises on a defaulter's properties under the Kerala Sales Tax Act if the tax is not paid within 21 days of a demand notice, giving priority to the State for sales tax arrears over the decree holder.The Court dismissed the appeal in both cases, emphasizing the legal principles surrounding the creation and effectiveness of charges by arbitrators and the priority of payments in cases of tax arrears.
TaxTMI 
TaxTMI 
