Provisional attachment

Provisional attachment

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Existing provisions of section 281 B(1)Provisional attachment [Section 281B]

Provisional attachment [Section 281B] [W.e.f. 1-10-2014]

The existing provisions of section 281 B(1) provide that the Assessing Officer, during the pendency of any proceeding for assessment or reassessment, in order to protect the interest of revenue may, with the previous approval of the Chief Commissioner of Commissioner, attach provisionally any property belonging to the assessee in the manner provided in the Second Schedule. Section 281B(2) provides that the provisional attachment shall cease to have effect after the expiry of 6 months provided that the Chief Commissioner or Commissioner may extend the period upto a total period of two years

. The Finance (No. 2) Act, 2014 has amended the proviso to section 281B(2) so as to provide that the Chief Commissioner, Commissioner, Director General or Director may extend the period of provisional attachment so that the total period of extension does not exceed two years or upto sixty days after the date of assessment or reassessment, whichever is later.


(1) For any issue relating to controversy in provisions, refer Bare Act., which shall prevail.

(2) The amendments are compiled in line with the recommendations of the stated finance act. However, it must be read with all relevant notifications, circulars - provided such are issued at least 6(six) months prior to the month of examination of the Institute. Accordingly, such notifications would be applicable for the examinations. However, notifications/circulars issued but the time gap is less than 6(six) months from the month of examination, such shall not be made applicable.

(3) Institute reserves the rights to declare applicability/ non-applicability of any provision and such declaration shall be made by circular/notification from the Institute.BACK

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