Case Law Details
Odhavjibhai Mohanbhai Gadhiya Vs State of Gujarat (Gujarat High Court)
Gujarat High court held that the dues in the nature of sales tax or VAT payable by the original owner cannot claim priority over the dues of the secured creditor.
Facts-
By filing the present petition under Article 226 of the Constitution, the petitioner has prayed to set aside order dated 6.3.2021 passed by respondent No.3- the Sub Registrar, Jamnagar. The said order dated 6.3.2021 is in nature of communication addressed to the petitioner whereby respondent No.3 has kept pending document No.1169 dated 16.2.2021, refusing to release the same on the ground that on the subject matter land covered under the said document, there exists an encumbrance in the nature of government dues of unpaid sales tax as communicated by letter dated 14.10.2019 of Assistant Commissioner of State Tax- respondent No.5 herein. It was stated that the properties were under attachment under Section 45 of the Gujarat Value Added Tax Act, for non-payment of the tax by original owner of the properties named Pradipkumar Govindbhai Lakkad.
Conclusion-
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