Amended and updated notes on section 232 of Income Tax Act 1961 as amended by the Finance Act 2020 and Income-tax Rules, 1962. Detail discussion on provisions and rules related to Recovery by suit or under other law not affected.
Chapter XVII (Sections 190 to 234G) of the Income Tax Act 1961 deals with the provisions related to collection and recovery of tax. Section 232 of IT Act 1961 provides for Recovery by suit or under other law not affected.
Recently, we have discussed in detail section 231 (Faceless collection and recovery of tax) of IT Act 1961. Today, we learn the provisions of section 232 of Income-tax Act 1961. The amended provision of section 232 is effective for financial year 2022-23 relevant to the assessment year 2023-24.
In this article, you will learn detail of the provisions of section 232 of the Income Tax Act, 1961 Bare Act read with the Income-tax Rules, 1962 as provided by Ministry of Law and Justice, Government of India.
Section-232: Recovery by suit or under other law not affected
The several modes of recovery specified in this Chapter shall not affect in any way—
- (a) any other law for the time being in force relating to the recovery of debts due to Government; or
- (b) the right of the Government to institute a suit for the recovery of the arrears due from the assessee;
and it shall be lawful for the Assessing Officer or the Government, as the case may be, to have recourse to any such law or suit, notwithstanding that the tax due is being recovered from the assessee by any mode specified in this Chapter.