Tax Recovery Officer cannot declare sale by assessee to 3rd party as void

K. N. Subramaniam Vs PCIT (Madras High Court)

Background:

This case involves a dispute between a taxpayer (the fourth respondent), the Income Tax Department, and a third-party buyer (the petitioner) of the taxpayer’s property. The taxpayer owed outstanding taxes to the Income Tax Department. While the tax proceedings were ongoing, the taxpayer sold the property to the petitioner.

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