TMI Blog2023 (1) TMI 490X X X X Extracts X X X X X X X X Extracts X X X X ..... s set aside, then the purchaser is entitled for return of the money, which was paid by them together with interest and the determination of interest is to be done by the Tax Recovery Officer. Therefore, to that extent, we agree with the learned Single Bench that it is the Tax Recovery Officer, who has to determine the interest payable. Income Tax Department cannot put the entire matter in cold storage and keep the purchaser running from pillar to post to recover the moneies paid by them towards the purchase price along 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 purcha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is directed to file an affidavit as to and under what circumstances, the Income Tax Department has not handed over the property for which sale certificate has already been issued to the appellants and the road blocks, if any, as also the procedure, which are required to be followed in the matter of handing over of the property and whether the property is in the possession of the Income Tax Department, whether it is vacant, etc. - M.A.T. 1659 of 2016 With I.A. No.CAN 2 of 2017 (old CAN 23 of 2017) - - - Dated:- 3-1-2023 - T. S. Sivagnanam And Hiranmay Bhattacharyya, JJ. Mr. Subir Sanyal, Mr. Sajal Kanti Bhattacharya, Mr. S. Halder .for the appellants Mr. Vipul Kundalia, Mr. Amit Sharma . for the respondents. Affidavit-of-se ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 006 has not been refunded together with interest till date. The second grievance is that though the appellants were declared as the successful purchaser of the other property, till date actual physical vacant possession of the property has not been handed over to the appellants by the Income Tax Department. So far as the refund of the amount is concerned, the learned Single Bench had directed the appellants to approach the Tax Recovery Officer with a further direction that Tax Recovery Officer shall dispose of the appellant s application for refund of the amount paid along with the interest as expeditiously as possible preferably within a period of six weeks from the date on which such application has been made. Insofar as the auction of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... here a sale of an immovable property is set aside, any money paid or deposited by the purchaser on account of the purchase, together with the penalty, if any, deposited for payment to the purchaser and such interest as the Tax Recovery Officer may allow, shall be paid to the purchaser. What is important to note is use of the expression shall , which would mean that the Rule in no uncertain terms states that if the sale of the immovable property is set aside, then the purchaser is entitled for return of the money, which was paid by them together with interest and the determination of interest is to be done by the Tax Recovery Officer. Therefore, to that extent, we agree with the learned Single Bench that it is the Tax Recovery Officer, w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... urchase of the said property together with interest as the Tax Recovery Officer may determine by way of damand draft drawn in favour of the appellant / purchaser not later than 20th January, 2023. (b) The determination of the interest payable by the Tax Recovery Officer as mandated under Rule 64 of the Rules of the 2nd Schedule shall be without prejudice to the rights of the appellants, who will be entitled to question the correctness of the rate of interest, if so advised. (c) The Tax Recovery Officer is directed to file an affidavit as to and under what circumstances, the Income Tax Department has not handed over the property for which sale certificate has already been issued to the appellants and the road blocks, if any, as also th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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