Deduction or Adjustment of Tax from Account by the Bank as per instruction of NBR of Bangladesh
The Deputy Commissioner of Taxes or A Tax Collection Officer if requests the Manager of a bank to pay off the unpaid income tax of the customer (account holder) and failing which the manager is warned to be held personally responsible to pay off the unpaid income tax of the said customer by himself. A legal opinion has been solicited as to what would be the next course of action to be done by the Manager of the bank with regard to paying off the unpaid income tax amounting to taka 7,04,899.00 only of the customer namely ……….
It is noted that Section 143 of the Income Tax Ordinance, 1984 has empowered the aforesaid Deputy Commissioner of Taxes to realize the unpaid income tax of any tax payer without intervention of any authority. Since, the above Deputy commissioner of taxes has requested the manager of the bank to pay off the unpaid income tax amounting to taka 7,04,899.00 only of the customer of the said branch namely ………. from his account numbers as mentioned in the letter of the said commissioner, there is no other legal opportunity for the Manager of the Branch to avoid the payment of the aforesaid unpaid income tax of the said customer, but to unfailingly pay off the same without any choice of himself .
However, If the client/customer can obtain an injunction or stay on the order of the Tax officer, Bank can disobey such order.
Advocate, Supreme Court of Bangladesh & Founder of ain-qanoon.com; 6th March 2019.