https://www.taxtmi.com/caselaws?id=764267 Kerala HC held that petitioners who purchased property through court auction were protected under Section 281 proviso of Income Tax Act. The property attachment by Income Tax Department for previous owner's tax dues was invalid as petitioners purchased for adequate consideration without notice of pending IT proceedings. Court found the transaction bona fide, noting petitioners paid Rs. 59,000 above decree amount. Since attachment covered 51 cents while petitioners bought only 6 cents, and remaining property had multi-storied building, no prejudice would occur if IT Department proceeded against remaining extent. Following precedent in S. Mathews case, claim petition should have been allowed protecting bona fide purchasers. en-us Sat, 07 Dec 2024 00:00:00 +0530 Mon, 06 Jan 2025 19:15:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=764267 Kerala HC held that petitioners who purchased property through court auction were protected under Section 281 proviso of Income Tax Act. The property attachment by Income Tax Department for previous owner's tax dues was invalid as petitioners purchased for adequate consideration without notice of pending IT proceedings. Court found the transaction bona fide, noting petitioners paid Rs. 59,000 above decree amount. Since attachment covered 51 cents while petitioners bought only 6 cents, and remaining property had multi-storied building, no prejudice would occur if IT Department proceeded against remaining extent. Following precedent in S. Mathews case, claim petition should have been allowed protecting bona fide purchasers. Case-Laws Income Tax Sat, 07 Dec 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=764267