Tax Recovery Officer by whom recovery is to be effected
[Section-414 as per the Income Tax Act, 2025 (this Act) w.e.f. 1st April, 2026.]
Section 414(1) of Income Tax Act 2025
414(1) For the purposes of section 413, the Tax Recovery Officer shall be—
- 414(1)(a) the Tax Recovery Officer within whose jurisdiction the assessee carries on his business or profession or has the principal place of his business or profession; or
- 414(1)(b) the Tax Recovery Officer within whose jurisdiction the assessee resides or any of his movable or immovable property is situated,
the jurisdiction for this purpose being the jurisdiction assigned to the Tax Recovery Officer under the orders or directions issued by the Board, or by any income-tax authority not below the rank of Commissioner who is authorised in this behalf by the Board in pursuance of section 241.
Section 414(2) of Income Tax Act 2025
414(2) Where an assessee has property within the jurisdiction of more than one Tax Recovery Officer and the Tax Recovery Officer by whom the certificate is drawn up—
- 414(2)(a) is not able to recover the entire amount by sale of the property, movable or immovable, within his jurisdiction; or
- 414(2)(b) is of the opinion that, for the purpose of expediting or securing the recovery of the whole or any part of the amount under this Part, it is necessary so to do,
he may send—
- (i) the certificate; or
- (ii) a copy of the certificate certified in the manner as prescribed and specifying the amount to be recovered, where only a part of the amount is to be recovered,
to a Tax Recovery Officer referred to in sub-section (1)(b) and, thereupon, such officer shall also proceed to recover the amount under this Part as if the certificate or copy thereof had been drawn up by him.
FAQs on Section 414 of Income Tax Act 2025
Who is the Tax Recovery Officer authorized to recover tax under Section 414(1)?
The Tax Recovery Officer can be either the one within whose jurisdiction the assessee carries on business or has the principal place of business or profession, or the one within whose jurisdiction the assessee resides or owns any movable or immovable property.
How is the jurisdiction of the Tax Recovery Officer determined under this section?
Jurisdiction is determined based on orders or directions issued by the Board or any income-tax authority not below the rank of Commissioner who is authorized by the Board under Section 241.
Can more than one Tax Recovery Officer be involved in a single recovery proceeding?
Yes, if the assessee has properties in multiple jurisdictions and recovery cannot be fully effected by the original officer, another Tax Recovery Officer may also proceed with recovery.
What happens if the Tax Recovery Officer cannot recover the full amount from property in his jurisdiction?
If the full amount cannot be recovered by sale of the property within his jurisdiction, the officer may forward the certificate or a certified copy of it to another officer as per Section 414(2)(a).
Can a certificate for recovery be sent to another officer even if full recovery is possible locally?
Yes, under Section 414(2)(b), if the original officer believes it is necessary for expediting or securing recovery, he may send the certificate or certified copy to another officer.
Is the second Tax Recovery Officer required to treat the certificate as if it was issued by him?
Yes, once the certificate or certified copy is received by the second officer, he must proceed as if he had drawn it up himself under this Part.
What form can the forwarded recovery document take?
It can be either the original certificate or a certified copy that clearly specifies the amount to be recovered.
What kind of property triggers the involvement of a second Tax Recovery Officer?
The existence of movable or immovable property in another officer’s jurisdiction can trigger their involvement in the recovery process.
Does the second officer need fresh authorization to act on the recovery certificate?
No fresh authorization is needed; receipt of the certificate or certified copy empowers the second officer to act under the same recovery provisions.
Who authorizes Tax Recovery Officers for jurisdictional purposes under this section?
The Board, or a Commissioner-level authority empowered by the Board under Section 241, assigns jurisdiction to Tax Recovery Officers.
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