Continuation and validation of certain recovery proceedings.

Section 84

Where any notice of demand in respect of any tax, penalty, interest or any other amount payable under this Act, (hereafter in this section referred to as "Government dues"), is served upon any taxable person or any other person and any appeal or revision application is filed or any other proceeding is initiated in respect of such Government dues, then—

(a) where such Government dues are enhanced in such appeal, revision or other proceedings, the Commissioner shall serve upon the taxable person or any other person another notice of demand in respect of the amount by which such Government dues are enhanced and any recovery proceedings in relation to such Government dues as are covered by the notice of demand served upon him before the disposal of such appeal, revision or other proceedings may, without the service of any fresh notice of demand, be continued from the stage at which such proceedings stood immediately before such disposal;

(b) where such Government dues are reduced in such appeal, revision or in other proceedings—

(i) it shall not be necessary for the Commissioner to serve upon the taxable person a fresh notice of demand;

(ii) the Commissioner shall give intimation of such reduction to him and to the appropriate authority with whom recovery proceedings is pending;

(iii) any recovery proceedings initiated on the basis of the demand served upon him prior to the disposal of such appeal, revision or other proceedings may be continued in relation to the amount so reduced from the stage at which such proceedings stood immediately before such disposal.

AI Explanation

It appears that the text you provided is a legal provision related to the process of serving notices of demand in relation to taxes, penalties, interest, or other amounts payable under a particular Act. This text outlines the procedures to be followed when a notice of demand is served, and subsequently, when there are changes to the assessed amount through appeals, revisions, or other proceedings.

Here is a breakdown of the key points:

1. Enhancement of Government Dues:

   • If the amount of Government dues is increased in an appeal, revision, or other proceedings, the Commissioner is required to serve another notice of demand to the taxable person or any other person for the enhanced amount.
   • Recovery proceedings related to the original notice of demand can be continued without issuing a fresh notice, and they can be continued from the stage at which they stood before the disposal of the appeal, revision, or other proceedings.

2. Reduction of Government Dues:

   • If the amount of Government dues is reduced in an appeal, revision, or other proceedings, the Commissioner is not required to serve a fresh notice of demand.
   • The Commissioner must inform the taxable person of the reduction and also notify the appropriate authority involved in the recovery proceedings.
   • Recovery proceedings initiated based on the original demand can be continued for the reduced amount from the stage at which they stood before the disposal of the appeal, revision, or other proceedings.

This provision ensures a structured process for managing changes in the assessed amounts and the corresponding recovery proceedings, depending on whether the amount is enhanced or reduced during the appeal or revision process. It aims to streamline the administrative procedures and avoid unnecessary duplication of notices in case of reductions in the assessed amount.