Law:

Section:

Section 222, read with section 159 of the Income-tax Act, 1961 [Corresponding to section 46(2), read with section 24B(1) of the Indian Income-tax Act, 1922] - Collection and recovery of tax - Certificate proceedings - Whether after death of defaulter assessee, revenue authorities were in order in continuing proceeding of recovery in pursuance of certificate issued under section 46(2) of 1922 Act and that there was no need to amend said certificate either by income-tax authorities or by Collector showing legal representatives as assessee - Held, yes FACTS The assessee was served with statutory notices for recovery of income-tax due from him prior to 11-3-1955 but only a portion was paid on 11-3-1955. A certificate under section 46(2) of the Indian Income-tax Act, 1922 was issued to the Collector for realisation of arrear demand. It was after the issue of this certificate that the assessee died. The Tehsildar attached the properties belonging to the sons of the defaulter for recovery of the said arrears. It was contended by the appellants that the recovery proceedings were bad, as the certificate stood only in the name of the defaulter and without an amendment of the certificate the revenue authorities could not proceed to realise the amount due by the defaulter. The contention on behalf of the revenue was that there was no need to amend the certificate issued by the Collector under section 46(2) of 1922 Act and that the correspondence for recovery were legally continued by the Tahsildar against the properties of the deceased defaulter. HELD Section 24B(1) of 1922 Act makes an assessee immortal and provides that where a person dies, his executor, administrator or other legal representatives shall be liable to pay out of the estate of the deceased person, the tax assessed. In First Additional Income-tax Officer,Kaqraikudi v. T.G.M.K. Abdul Kassim [1962] 46 ITR 149 (SC), the Supreme Court held that the legal representative of the deceased person against whom proceedings were taken under section 24B of the Income-tax Act, 1922, must be deemed to be an assessee not only for the purposes of assessment, but also for the purposes of the levy and recovery of tax, and…

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