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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.... 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 employee/director of the company has to proceed out of India on b....

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....ument, 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 on business at short notice, the Income-tax Officer may accept....

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....ction 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 operation till the party's return to India and for a period of three mo....