Income Tax Act, 2025
Section 1: Subs. by Act 3 of 1989, s. 54, for “Assessing Officer” (w.e.f. 11989).
1. Subs. by Act 3 of 1989, s. 54, for “Assessing Officer” (w.e.f. 11989).
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32. Attachment of partnership property.—(1) Where the property to be attached consists of an
interest of the defaulter, being a partner, in the partnership property, the Tax Recovery Officer may make
an order charging the share of such partner in the partnership property and profits with payment of the
amount due under the certificate, and may, by the same or subsequent order, appoint a receiver of the
share of such partner in the profits, whether already declared or accruing and of any other money which
may become due to him in respect of the partnership, and direct accounts and inquiries and make an order
for the sale of such interest or such other order as the circumstances of the case may require.
(2) The other persons shall be at liberty at any time to redeem the interest charged or, in the case of a
sale being directed, to purchase the same.
33. Inventory.—In the case of attachment of movable property by actual seizure, the officer shall,
after attachment of the property, prepare an inventory of all the property attached, specifying in it the
place where it is lodged or kept, and shall forward the same to the Tax Recovery Officer and a copy of the
inventory shall be delivered by the officer to the defaulter.
34. Attachment not to be excessive.—The attachment by seizure shall not be excessive, that is to
say, the property attached shall be as nearly as possible proportionate to the amount specified in the
warrant.
35. Seizure between sunrise and sunset.—Attachment by seizure shall be made after sunrise and
before sunset and not otherwise.
36. Power to break open doors, etc.—The officer may break open any inner or outer door or
window of any building and enter any building in order to seize any movable property if the officer has
reasonable grounds to believe that such building contains movable property liable to seizure under the
warrant and the officer has notified his authority and intention of breaking open if admission is not given.
He shall, however, give all reasonable opportunity to women to withdraw.
Sale
37. Sale.—The Tax Recovery Officer may direct that any movable property attached under this
Schedule or such portion thereof as may seem necessary to satisfy the certificate shall be sold.
38. Issue of proclamation.—When any sale of movable property is ordered by the Tax Recovery
Officer, the Tax Recovery Officer shall issue a proclamation, in the language of the district, of the
intended sale, specifying the time and place of sale and whether the sale is subject to confirmation or not.
39. Proclamation how made.—(1) Such proclamation shall be made by beat of drum or other
customary mode,—
(a) in the case of property attached by actual seizure—
(i) in the village in which the property was seized, or, if the property was seized in a town or
city, then, in the locality in which it was seized; and
(ii) at such other places as the Tax Recovery Officer may direct;
(b) in the case of property attached otherwise than by actual seizure, in such places, if any, as the
Tax Recovery Officer may direct.
(2) A copy of the proclamation shall also be affixed in a conspicuous part of the office of the Tax
Recovery Officer.
40. Sale after fifteen days.—Except where the property is subject to speedy and natural decay or
when the expense of keeping it in custody is likely to exceed its value, no sale of movable property under
this Schedule shall, without the consent in writing of the defaulter, take place until after the expiry of at
least fifteen days calculated from the date on which a copy of the sale proclamation was affixed in the
office of the Tax Recovery Officer.
41. Sale of agricultural produce.—(1) Where the property to be sold is agricultural produce, the sale
shall be held,—
(a) if such produce is a growing crop—on or near the land on which such crop has grown, or
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(b) if such produce has been cut or gathered—at or near the threshing floor or place for treading
out grain or the like, or fodder-stack, on or in which it is deposited:
Provided that the Tax Recovery Officer may direct the sale to be held at the nearest place of public
resort, if he is of opinion that the produce is thereby likely to sell to greater advantage.
(2) Where, on the produce being put up for sale,—
(a) a fair price, in the estimation of the person holding the sale, is not offered for it, and
(b) the owner of the produce, or a person authorised to act on his behalf, applies to have the sale
postponed till the next day or, if a market is held at the place of sale, the next market day,
the sale shall be postponed accordingly, and shall be then completed, whatever price may be offered for
the produce.
42. Special provisions relating to growing crops.—(1) Where the property to be sold is a growing
crop and the crop from its nature admits of being stored but has not yet been stored, the day of the sale
shall be so fixed as to admit of the crop being made ready for storing before the arrival of such day, and
the sale shall not be held until the crop has been cut or gathered and is ready for storing.
(2) Where the crop from its nature does not admit of being stored or can be sold to a greater
advantage in an unripe stage (e.g., as green wheat), it may be sold before it is cut and gathered, and the
purchaser shall be entitled to enter on the land, and to do all that is necessary for the purpose of tending or
cutting or gathering the crop.
43. Sale to be by auction.—The property shall be sold by public auction in one or more lots as the
officer may consider advisable, and if the amount to be realised by sale is satisfied by the sale of a portion
of the property, the sale shall be immediately stopped with respect to the remainder of the lots.
44. Sale by public auction.—(1) Where movable property is sold by public auction, the price of each
lot shall be paid at the time of sale or as soon after as the officer holding the sale directs and in default of
payment, the property shall forthwith be resold.
(2) On payment of the purchase-money, the officer holding the sale shall grant a certificate specifying
the property purchased, the price paid and the name of the purchaser, and the sale shall become absolute.
(3) Where the movable property to be sold is a share in goods belonging to the defaulter and a coowner, and two or more persons, of whom one is such co-owner, respectively bid the same sum for such
property or for any lot, the bidding shall be deemed to be the bidding of the co-owner.
45. Irregularity not to vitiate sale, but any person injured may sue.—No irregularity in publishing
or conducting the sale of movable property shall vitiate the sale, but any person sustaining substantial
injury by reason of such irregularity at the hand of any other person may institute a suit in a civil court
against him for compensation, or (if such other person is the purchaser) for the recovery of the specific
property and for compensation in default of such recovery.
46. Negotiable instruments and shares in a corporation.—Notwithstanding anything contained in
this Schedule, where the property to be sold is a negotiable instrument or a share in a corporation, the Tax
Recovery Officer may, instead of directing the sale to be made by public auction, authorise the sale of
such instrument or share through a broker.
47. Order for payment of coin or currency notes to the 1[Assessing Officer].—Where the property
attached is current coin or currency notes, the Tax Recovery Officer may, at any time during the
continuance of the attachment, 2[direct that such coins or notes shall be credited to the Central
Government and the amount so credited shall be dealt with in the manner specified in rule 8].
Where the property to be attached consists of an
interest of the defaulter, being a partner, in the partnership property, the Tax Recovery Officer may make
an order charging the share of such partner in the partnership property and profits with payment of the
amount due under the certificate, and may, by the same or subsequent order, appoint a receiver of the
share of such partner in the profits, whether already declared or accruing and of any other money which
may become due to him in respect of the partnership, and direct accounts and inquiries and make an order
for the sale of such interest or such other order as the circumstances of the case may require.
The other persons shall be at liberty at any time to redeem the interest charged or, in the case of a
sale being directed, to purchase the same.
33. Inventory.—In the case of attachment of movable property by actual seizure, the officer shall,
after attachment of the property, prepare an inventory of all the property attached, specifying in it the
place where it is lodged or kept, and shall forward the same to the Tax Recovery Officer and a copy of the
inventory shall be delivered by the officer to the defaulter.
34. Attachment not to be excessive.—The attachment by seizure shall not be excessive, that is to
say, the property attached shall be as nearly as possible proportionate to the amount specified in the
warrant.
35. Seizure between sunrise and sunset.—Attachment by seizure shall be made after sunrise and
before sunset and not otherwise.
36. Power to break open doors, etc.—The officer may break open any inner or outer door or
window of any building and enter any building in order to seize any movable property if the officer has
reasonable grounds to believe that such building contains movable property liable to seizure under the
warrant and the officer has notified his authority and intention of breaking open if admission is not given.
He shall, however, give all reasonable opportunity to women to withdraw.
Sale
37. Sale.—The Tax Recovery Officer may direct that any movable property attached under this
Schedule or such portion thereof as may seem necessary to satisfy the certificate shall be sold.
38. Issue of proclamation.—When any sale of movable property is ordered by the Tax Recovery
Officer, the Tax Recovery Officer shall issue a proclamation, in the language of the district, of the
intended sale, specifying the time and place of sale and whether the sale is subject to confirmation or not.
39. Proclamation how made.—
Such proclamation shall be made by beat of drum or other
customary mode,—
in the case of property attached by actual seizure—
in the village in which the property was seized, or, if the property was seized in a town or
city, then, in the locality in which it was seized; and
at such other places as the Tax Recovery Officer may direct;
in the case of property attached otherwise than by actual seizure, in such places, if any, as the
Tax Recovery Officer may direct.
A copy of the proclamation shall also be affixed in a conspicuous part of the office of the Tax
Recovery Officer.
40. Sale after fifteen days.—Except where the property is subject to speedy and natural decay or
when the expense of keeping it in custody is likely to exceed its value, no sale of movable property under
this Schedule shall, without the consent in writing of the defaulter, take place until after the expiry of at
least fifteen days calculated from the date on which a copy of the sale proclamation was affixed in the
office of the Tax Recovery Officer.
41. Sale of agricultural produce.—
Where the property to be sold is agricultural produce, the sale
shall be held,—
if such produce is a growing crop—on or near the land on which such crop has grown, or
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if such produce has been cut or gathered—at or near the threshing floor or place for treading
out grain or the like, or fodder-stack, on or in which it is deposited:
Provided that the Tax Recovery Officer may direct the sale to be held at the nearest place of public
resort, if he is of opinion that the produce is thereby likely to sell to greater advantage.
Where, on the produce being put up for sale,—
a fair price, in the estimation of the person holding the sale, is not offered for it, and
the owner of the produce, or a person authorised to act on his behalf, applies to have the sale
postponed till the next day or, if a market is held at the place of sale, the next market day,
the sale shall be postponed accordingly, and shall be then completed, whatever price may be offered for
the produce.
42. Special provisions relating to growing crops.—
Where the property to be sold is a growing
crop and the crop from its nature admits of being stored but has not yet been stored, the day of the sale
shall be so fixed as to admit of the crop being made ready for storing before the arrival of such day, and
the sale shall not be held until the crop has been cut or gathered and is ready for storing.
Where the crop from its nature does not admit of being stored or can be sold to a greater
advantage in an unripe stage (e.g., as green wheat), it may be sold before it is cut and gathered, and the
purchaser shall be entitled to enter on the land, and to do all that is necessary for the purpose of tending or
cutting or gathering the crop.
43. Sale to be by auction.—The property shall be sold by public auction in one or more lots as the
officer may consider advisable, and if the amount to be realised by sale is satisfied by the sale of a portion
of the property, the sale shall be immediately stopped with respect to the remainder of the lots.
44. Sale by public auction.—
Where movable property is sold by public auction, the price of each
lot shall be paid at the time of sale or as soon after as the officer holding the sale directs and in default of
payment, the property shall forthwith be resold.
On payment of the purchase-money, the officer holding the sale shall grant a certificate specifying
the property purchased, the price paid and the name of the purchaser, and the sale shall become absolute.
Where the movable property to be sold is a share in goods belonging to the defaulter and a coowner, and two or more persons, of whom one is such co-owner, respectively bid the same sum for such
property or for any lot, the bidding shall be deemed to be the bidding of the co-owner.
45. Irregularity not to vitiate sale, but any person injured may sue.—No irregularity in publishing
or conducting the sale of movable property shall vitiate the sale, but any person sustaining substantial
injury by reason of such irregularity at the hand of any other person may institute a suit in a civil court
against him for compensation, or (if such other person is the purchaser) for the recovery of the specific
property and for compensation in default of such recovery.
46. Negotiable instruments and shares in a corporation.—Notwithstanding anything contained in
this Schedule, where the property to be sold is a negotiable instrument or a share in a corporation, the Tax
Recovery Officer may, instead of directing the sale to be made by public auction, authorise the sale of
such instrument or share through a broker.
47. Order for payment of coin or currency notes to the 1[Assessing Officer].—Where the property
attached is current coin or currency notes, the Tax Recovery Officer may, at any time during the
continuance of the attachment, 2[direct that such coins or notes shall be credited to the Central
Government and the amount so credited shall be dealt with in the manner specified in rule 8].