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CMA Final · Direct Tax Laws and International Taxation · Collection, Recovery and Refund of Tax

Under the provisions on recovery of tax through Tax Recovery Officers, a TRO has drawn up a certificate against an assessee who has property under several TROs. When may the TRO send the certificate, or a certified copy, to another TRO within whose jurisdiction the assessee resides or any property is situated?

The TRO may send the certificate or a certified copy to another TRO when he cannot recover the whole amount from property within his own jurisdiction, or when he thinks it necessary to expedite or secure recovery of all or part of the amount. Consent or Board approval is not required.

  1. AOnly after the assessee consents in writing
  2. BOnly after the Board approves each transfer
  3. CIf he cannot recover the full amount by sale of property in his own jurisdiction, or considers it necessary to expedite or secure recovery of any part of the amountCorrect
  4. DOnly where the assessee has no property in the first TRO's jurisdiction

Explanation

Section 414(2) lets the TRO who drew up the certificate send it, or a certified copy specifying the part to be recovered, to a TRO under 414(1)(b) where he is unable to recover the entire amount in his jurisdiction or thinks it necessary to expedite or secure recovery. No consent or Board approval is required, and the assessee need not be without property locally.

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