Section 413
Section 413: certificate by the Tax Recovery Officer
Section 413 is the starting point for formal recovery action: once an assessee is in default (or deemed in default), the Tax Recovery Officer can draw up a certificate specifying the arrears due and then recover that amount by attaching and selling the assessee's property, or by appointing a receiver.
This explanation is AI-assisted and pending review by our CA/CS team. It is general information, not professional advice - always cross-check against the bare law text above or talk to our tax team for guidance specific to your situation.
Drawing up the recovery certificate - Section 413(1)
"When an assessee is in default or is deemed to be in default in making a payment of tax, the Tax Recovery Officer may draw up under his signature a statement in such form as may be prescribed specifying the amount of arrears due from the assessee (such statement being herein and in sections 414 to 416 referred to as certificate) and shall proceed to recover from such assessee the amount specified in the certificate by one or more of the modes mentioned below, as per the rules prescribed in this regard-- (a) attachment and sale of movable property of the assessee; (b) attachment and sale of immovable property of the assessee; (c) appointing a receiver for the management of movable and immovable properties of the assessee."
The Tax Recovery Officer may take this action whether or not recovery proceedings have already been taken by any other mode.
The certificate cannot be disputed, but can be cancelled or corrected
The assessee is not entitled to dispute the correctness of any certificate drawn up by the Tax Recovery Officer on any ground.
The Tax Recovery Officer may cancel the certificate if, for any reason, he considers it necessary, or may correct any clerical or arithmetical mistake in it.
Property that counts as the assessee's own for recovery
For this section, the assessee's movable or immovable property includes property transferred, directly or indirectly, on or after 1 June 1973, by the assessee to his spouse, minor child, son's wife, or son's minor child, without adequate consideration, and which is held by or stands in the name of any of those persons.
Property transferred to a minor child or a son's minor child continues to be treated as the assessee's own property (for recovering arrears relating to a period before the child attained majority) even after that child attains majority.
Frequently asked questions
What is a Tax Recovery Officer's 'certificate' under Section 413?
It is a signed statement, in prescribed form, specifying the amount of arrears due from a defaulting assessee. It is the document that triggers formal recovery action such as attachment and sale of property.
Can I dispute the correctness of a recovery certificate?
No - Section 413(3) says the assessee is not entitled to dispute the correctness of a certificate drawn up by the Tax Recovery Officer, on any ground.
What modes of recovery are available under a Section 413 certificate?
Attachment and sale of the assessee's movable property, attachment and sale of the assessee's immovable property, or appointing a receiver for the management of the assessee's movable and immovable properties.
Can property transferred to my spouse or minor child be recovered against under Section 413?
Yes, if it was transferred on or after 1 June 1973 without adequate consideration and is held by or stands in the name of the spouse, minor child, son's wife, or son's minor child - such property is treated as the assessee's own property for recovery purposes.
Related sections
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Get help responding to a tax recovery certificateLast updated 9 September 2026