Taxpayer Receives Flexible Payment Plan for Outstanding Tax Dues in Three Monthly Installments Under Covid-19 Relief Measures

HC granted relief to taxpayer by allowing interest payment for tax dues in three equal monthly installments from 31.01.2024 to 28.03.2024, considering Covid-19 business impact. Court warned that non-compliance could trigger legal proceedings, while ensuring tax recovery without imposing additional penalties.

---

---

Issues Involved: Challenge to caution notice demanding interest payment for tax dues, request for time extension due to Covid-19 impact.

Challenge to Caution Notice: The petitioner challenged a caution notice demanding interest payment for four assessment years. The petitioner claimed that all tax dues were settled but needed time to pay interest due to business impact during the Covid-19 pandemic. The petitioner's counsel referred to a previous court order related to the petitioner's case.

Resolution: Mrs. E. Renganayaki, representing the respondents, acknowledged the petitioner's situation and agreed that interest payment should be made promptly. The court, after considering the submissions and the previous order, directed the petitioner to pay the demanded amounts in three equal monthly installments. The due dates for the installments were specified as 31.01.2024, 29.02.2024, and 28.03.2024. The order emphasized that failure to comply could result in legal action by the respondent. No costs were awarded, and related petitions were closed as a consequence.

---