Section 13 of The Union Territory Goods and Services Tax Act, 2017
- (1)Where any amount of tax, interest or penalty is payable by a person to the Government under any of the provisions of this Act or the rules made thereunder and which remains unpaid, the proper officer of central tax, during the course of recovery of said tax arrears, may recover the amount from the said person as if it were an arrear of central tax and credit the amount so recovered to the account of the Government under the appropriate head of Union terrirtory tax.
- (2)Where the amount recovered under sub-section (1) is less than the amount due to the Government under this Act and the Central Goods and Services Tax Act, the amount to be credited to the account of the Government shall be in proportion to the amount due as Union territory tax and central tax.
Summary
- When a person owes unpaid tax, interest, or penalties to the Government, a proper officer of central tax has the authority to step in and recover the money.
- The central tax officer recovers this money exactly as if it were an arrear of central tax.
- After recovering the money, the officer credits it to the Government's account under the Union territory tax category.
- If the officer cannot recover the full amount owed under both the Union territory and central laws, the partially recovered money is split proportionally between the Union territory tax and central tax accounts.
Practical examples
FAQ
1. Who can recover unpaid Union territory tax?
The proper officer of central tax can recover it during the course of recovering tax arrears.
2. How does the officer treat the unpaid Union territory tax during recovery?
They treat it as if it were an arrear of central tax.
3. What happens if the officer recovers less money than the total amount owed?
The recovered money is credited in proportion to the amounts due for Union territory tax and central tax.
Test yourself
Q1.Under Section 13 of The Union Territory Goods and Services Tax Act, 2017, who is authorized to recover unpaid tax, interest, or penalty payable to the Government?
Q2.Under Section 13 of The Union Territory Goods and Services Tax Act, 2017, how is the recovered amount treated if it is less than the total amount due for both Union territory tax and central tax?
Q3.Under Section 13 of The Union Territory Goods and Services Tax Act, 2017, how does the proper officer of central tax treat the unpaid amount during the recovery process?
Q4.Under Section 13 of The Union Territory Goods and Services Tax Act, 2017, under which head is the successfully recovered full amount credited by the central tax officer?