No Tax Recovery from Joint Saving Bank Account without Notice to joint Holder : High Court

No Tax Recovery from Joint Saving Bank Account without Notice to joint Holder

Facts of the Case

Where assessee was holding joint saving bank Account with her husband, Whether Tax Recovery Officer could issue notice to bank for marking said bank account for lien towards arrears of tax liability of her husband, without issuing a notice to assessee

Decision of High Court

Mandatory requirement of serving notice on the joint holder of the Joint Account is not complied with in terms of Income Tax Act. Hence, the notice impugned at Annexure - A deserves to be set aside.