Affixing the seal of the company on the Form of guarantee to be furnished under section 230 of the Income-tax Act, 1961 - liability of employer for the tax liability of the employee after his return to India

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....230 Statute: Income - Tax Act, 1961 At the last meeting of the Central Direct Taxes Advisory Committee held on 25th January, 1973, it was suggested that the requirement of affixing the seal of the company on the Form of guarantee to be furnished under section 230 of the Income-tax Act, 1961 (which necessitates the holding of a meeting especially for issuance of such guarantees where the empl....

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....s of Association or power of attorney or any other suitable document, that the guarantee given by the company has been executed on its behalf by a person duly authorized in this regard, it should be possible for the Department to dispense with the requirement of a seal. It has been decided by the Board that in appropriate cases where the employee/director of the company has to proceed out of India....

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....nts have been made to meet the tax liability. The provision in section 230 has been made to guard against loss of revenue which may be occasioned due to the physical absence of the person from India. It may , however, not be advisable for the guarantee to cease to have effect as soon as the person returns to India. It has, therefore, been decided by the Board that the guarantee should be in operat....