Tax officials to inform banks on expiry of attachment order

The Central Board of Indirect Taxes and Customs (CBIC) Thursday said it was mandatory for its field officials to issue a letter to bank authorities to release provisionally attached property including bank accounts upon expiry of an attachment order.

The instruction comes in the wake of many taxpayers moving courts to get their bank accounts and provisional attachment revoked.

One of the writ petitions filed by a taxpayer sought that the commissioner should also follow up by issuing an intimation of release of such provisional attachment because banks/relevant authorities seek such a communication.


Such matters have come up before the High Court of Delhi.

"For the present, and keeping in view the convenience of taxpayers, the board prescribes the procedure that in such types of situations, the commissioner shall issue communication/an intimation to the concerned authority/bank," the instruction said.