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2022 (12) TMI 1181 - HC - VAT and Sales TaxAttachment of bank account of petitioner - recovery of outstanding taxes of a Company from the accounts of its individual Directors - HELD THAT:- Admittedly, the assessment in the present case is in the name of the Company and throughout, it is the Company which has been treated as the Assessee and demands raised against it. While the impugned order notices that there is nothing wrong in the attachment of the Company’s account, the grievance of the Petitioner that as an individual Director who has already resigned much prior to the impugned attachment, his individual account could not have been attached was not even addressed in the impugned order. Section 51 of the OVAT Act read with Rule 55 of the OVAT Rules provides a special mode of recovery of outstanding amount of tax, interest and penalty. Even these provisions do not authorize recovery of outstanding taxes of a Company from the accounts of its individual Directors. This Court is unable to sustain the impugned order in so far as the said order confirms the attachment of the Petitioner’s individual Bank account notwithstanding his having ceased to be a Director of AEPL whose tax dues were sought to be recovered - impugned attachment order and the corresponding order of the Commissioner of Sales Tax, Odisha affirming it are hereby set aside - petition is disposed off.
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