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2017 (10) TMI 695 - HC - VAT and Sales TaxContinuation of attachment order - Attachment of stock, bank accounts and fixed assets - section 45 of the VAT Act - By orders dated 07.09.2016 and 08.09.2016, attachment orders were passed - Held that: - Sub-section (2) of section 45 of the Act, in plain terms, ensures that the life of a provisional attachment order does not extend beyond a period of one year. Therefore, unless the order of provisional attachment is withdrawn, recalled, set aside or merges into some final order earlier, the same would cease to have effect at the end of a period of one year - This would ensure that the authority would examine the current position and would take a fresh decision that to protect the interest of Government revenue, it is necessary to pass fresh order of provisional attachment and that the earlier order of attachment would not mechanically continue indefinitely. The impugned orders of attachment were passed on 07.09.2016 and 08.09.2016. In terms of sub-section (2) of section 45, therefore they would become ineffective - petition allowed - decided in favor of petitioner.
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