The petitioner was holding joint account with her husband. The TRO issued notice to the bank account of the petitioner for lien towards the arrears of tax liability of the husband of the petitioner. On writ the petitioner contended that no notice was served on the petitioner in terms of S. 226(3)(iii) of the Act. Allowing the petition the Court held that issue of notice under sub-section (3)(iii) of section 226 which is sine qua non for recovery of tax hence the notice was quashed. (AY. 1999-00 to 2006-07) (Single Judge O. dt 18-07-2019)
Beena Muralidhar (Mrs.) v. TRO (2019) 266 Taxman 219 (Karn.) (HC)
S. 226 : Collection and recovery-Modes of recovery–Joint savings account with husband-TRO cannot 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. [S. 226(3)(iii), Art.226]