2023 (1) TMI 490

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.... counsel appearing for the department. This intra-Court appeal is directed against the order dated 30th June, 2016 in W.P. No.20803(W) of 2006. The said writ petition along with another connected matter in W.P. No.5269(W) of 2006 was allowed thereby the proceedings initiated by the Income Tax Department / Tax Recovery Officer for sale of the properties of the writ petitioners were allowed. It is relevant to mention that there were two properties, which were brought for sale for recovery of the tax dues of the department and in respect of one of the properties, the sale proclamation was not challenged by one of the owners of the property and the appellants before us was declared as the successful bidder of the said property in the auction s....

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....filed before the Division Bench of this Court in MAT 1257 of 2012 at the instance of the property owner, Biman Kumar Modak, the Division Bench had made an observation that in the event the properties, which were brought for sale by the Income Tax Department were held to be valid, Mr. Sanyal's client would be entitled to get interest that may be fixed by the learned Single Bench. However, as seen by us in the order dated 30th June, 2016 the learned Single Bench had directed the Tax Recovery Officer to do such determination. The procedure with regard to sale of properties for recovery of tax dues is in terms of various Rules contained in the 2nd Schedule to the Income Tax Act, which stipulates the procedure for recovery of tax. For the purpos....

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.... with interest. It is not clear as to why the possession of the property has not been handed over to the purchaser / appellants. It is the submission on behalf of the Income Tax Department that the appellants/auction purchasers have not approached the department. At this juncture, it would be relevant to take note of Rule 65 of the 2nd Schedule, which deals with sale certificate and sub-Rule (1) states that where a sale of immovable property has become absolute, the Tax Recovery Officer shall grant a certificate specifying the property sold and the name of the person, who at the time of sale is declared to be the purchaser. In terms of sub-Rule (2), such certificate shall set the date on which the sale became absolute. It is a submission on....