Tax arrears recovery remains available through parallel debt-recovery laws and civil suits alongside statutory collection mechanisms. Section 421 of the Income-tax Act, 2025 preserves recovery under other laws for debts due to the Government and does not limit such remedies. The ... Summary
Tax arrears recovery remains available through parallel debt-recovery laws and civil suits alongside statutory collection mechanisms.
Section 421 of the Income-tax Act, 2025 preserves recovery under other laws for debts due to the Government and does not limit such remedies. The Government's right to institute a civil suit for recovery of arrears due from an assessee also remains unaffected. The provision continues the position under section 232 of the Income-tax Act, 1961, allowing statutory recovery processes, other debt-recovery laws, and suit-based recovery to operate in parallel.
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