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2019 (1) TMI 1025 - HC - VAT and Sales TaxAttachment of Bank Accounts including cash credit account - section 45(7) of the Gujarat Value Added Tax Act, 2003 - Held that:- The court has considered the request only qua the cash credit account bearing No.918030020580275 maintained by the petitioner with the Axis Bank. This court in Kaneria Granito Ltd. v. Assistant Commissioner of Income Tax [2016 (7) TMI 65 - GUJARAT HIGH COURT] has categorically held that a cash credit account would be in the nature of borrowing by the assessee from the bank, and that the bank and the assessee, therefore, do not have the debtor-creditor relationship. Under the circumstances, when no amount lying in the cash credit account belongs to the petitioner, the question of attaching such account under section 45(7) of the Gujarat Value Added Tax Act, 2003 does not appear to be justified. By way of interim relief, the respondents are directed to forthwith release the cash credit account maintained by the petitioner with the Axis Bank, Navagam Branch - Direct Service is permitted today.
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