Legal Representatives Not Liable for Tax Penalties After Assessee's Death; Customs Act Lacks Clear Mechanism for Posthumous Recovery

HC determined that penalty imposed on a deceased assessee does not survive after death. The Customs Act lacks specific enabling provisions for assessing and recovering tax/duty from legal representatives of a deceased assessee. Section 142 provides for recovery of government dues, but without explicit statutory mechanism to continue proceedings against legal heirs. The assessments framed in 2002 lacked provisions for enforcement as a first charge. Consequently, the demands raised under the orders dated 24.10.2002 lapse, and the appeals automatically abate due to absence of legal machinery for recovery from deceased assessee's representatives. .....

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