CHAPTER XVII - COLLECTION AND RECOVERY OF TAX | D.—COLLECTION AND RECOVERY
CHAPTER XVII - COLLECTION AND RECOVERY OF TAX | D.—COLLECTION AND RECOVERY
Section 230A — Restrictions on Registration of Transfers of Immovable Property in Certain Cases (Omitted)
Case Laws & Commentary — Income-tax Act, 1961 (as amended by the Finance Act, 2026) — bharattax.co Treatise
Status: OMITTED by the Finance Act, 2001, with effect from 1 June 2001. Historic provision that barred registration of certain transfers of immovable property without an income-tax clearance certificate.
Finance Act, 2026: No amendment by the Finance Act, 2026 (the section stands omitted since 1 June 2001).
Mechanism: Not applicable — section omitted. The pre-2001 scheme required a clearance certificate (often called the '230A certificate') before a sub-registrar could register a transfer of immovable property above a specified value.
Litigation profile: Spent / omitted; of historical interest. Generated significant litigation while in force (1972-2001).
A. COMMENTARY
Historical note
Section 230A, in force from 1972 until its omission by the Finance Act, 2001 (w.e.f. 1 June 2001), prohibited a registering officer from registering a document transferring immovable property above a specified value unless the transferor produced a certificate from the Assessing Officer that he had no outstanding tax (and allied) liabilities, or that satisfactory arrangements had been made. The mechanism was a powerful recovery and information tool, but was found cumbersome and was replaced by other reporting mechanisms (such as the requirement to quote PAN and, later, statements of financial transactions).
Candour note
As the section has stood omitted since 2001, it is of historical interest only; the candour rule is applied. Disputes that arose under it while in force concerned the scope of the certificate requirement and the registering officer's duty, now spent.
B. STATUTORY TEXT (verbatim)
Reproduced from the Income-tax Act, 1961; the section stands omitted by the Finance Act, 2001 w.e.f. 1 June 2001. The Finance Act, 2026 makes no change. The editorial '[Omitted...]' note is that of the Legislature.
Restrictions on registration of transfers of immovable property in certain cases.
230A. [Omitted by the Finance Act, 2001, w.e.f. 1-6-2001.]
C. AUTHORITIES
Omitted provision; candour rule applied.
1. Candour note
No live case law (section omitted)
Position Section 230A having been omitted w.e.f. 1 June 2001, there is no current jurisprudence; the erstwhile clearance-certificate scheme is spent and has been replaced by PAN-quoting and financial-transaction reporting mechanisms.
Use State the candour position; treat as historical.
CHAPTER XVII - COLLECTION AND RECOVERY OF TAX | D.—COLLECTION AND RECOVERY
Section 230A — Restrictions on Registration of Transfers of Immovable Property in Certain Cases (Omitted)
Case Laws & Commentary — Income-tax Act, 1961 (as amended by the Finance Act, 2026) — bharattax.co Treatise
Status: OMITTED by the Finance Act, 2001, with effect from 1 June 2001. Historic provision that barred registration of certain transfers of immovable property without an income-tax clearance certificate.
Finance Act, 2026: No amendment by the Finance Act, 2026 (the section stands omitted since 1 June 2001).
Mechanism: Not applicable — section omitted. The pre-2001 scheme required a clearance certificate (often called the '230A certificate') before a sub-registrar could register a transfer of immovable property above a specified value.
Litigation profile: Spent / omitted; of historical interest. Generated significant litigation while in force (1972-2001).
A. COMMENTARY
Historical note
Section 230A, in force from 1972 until its omission by the Finance Act, 2001 (w.e.f. 1 June 2001), prohibited a registering officer from registering a document transferring immovable property above a specified value unless the transferor produced a certificate from the Assessing Officer that he had no outstanding tax (and allied) liabilities, or that satisfactory arrangements had been made. The mechanism was a powerful recovery and information tool, but was found cumbersome and was replaced by other reporting mechanisms (such as the requirement to quote PAN and, later, statements of financial transactions).
Candour note
As the section has stood omitted since 2001, it is of historical interest only; the candour rule is applied. Disputes that arose under it while in force concerned the scope of the certificate requirement and the registering officer's duty, now spent.
B. STATUTORY TEXT (verbatim)
Reproduced from the Income-tax Act, 1961; the section stands omitted by the Finance Act, 2001 w.e.f. 1 June 2001. The Finance Act, 2026 makes no change. The editorial '[Omitted...]' note is that of the Legislature.
Restrictions on registration of transfers of immovable property in certain cases.
230A. [Omitted by the Finance Act, 2001, w.e.f. 1-6-2001.]
C. AUTHORITIES
Omitted provision; candour rule applied.
1. Candour note
No live case law (section omitted)
Position Section 230A having been omitted w.e.f. 1 June 2001, there is no current jurisprudence; the erstwhile clearance-certificate scheme is spent and has been replaced by PAN-quoting and financial-transaction reporting mechanisms.
Use State the candour position; treat as historical.