Section 105 : Auction sale of the claimed property:

2) The notice given pursuant to Sub-section (1) may be included in the notice given pursuant to Sub-section (2) of Section 104 or attached with such a notice. Such a notice has to clearly set out the following matters and be given to the person in arrear of tax:-

a) The property claimed and the mode and time of auction or sale of the property, and

b) In respect of a tangible property, mode and place of possessing the property by the Department.

3) After the Department has given the notice referred to in Subsection (1) or (2) to the person in arrear of tax, it may do as follows:-

a) To have possession of the tangible property mentioned in the notice at any time,

b) To enter into any premises mentioned in the notice referred to in Sub-section (1) for the purpose of having possession of the tangible property at any time,

c) In respect of the tangible property except the land or building, to keep such properties in such place as thought proper by the Department at the expense of the person in arrear of tax.

4) In cases where the Department has given the notice referred to in Sub-section (1) to the person in arrear of tax, it may, in the following time, publicly auction such claimed property or sell and dispose of or use such property in such manner as thought proper:

a) If the claimed property is the land or building, after thirty days of the date of possession of such property pursuant to Sub-section (3),

b) If the claimed property is a perishable tangible property, after one day of the date of possession pursuant to Sub-section (3),

c) If the claimed property is a tangible property except those properties mentioned in clause (a) or (b), after ten days of possession pursuant to Sub-section (3), and

d) If the claimed property is any other kind of property, after ten days of possession of such property pursuant to Sub-section (3).

5) The expenses incurred in having claim and auctioning the property auctioned shall first be deducted from the proceeds derived from the auction sale pursuant to Sub-section (4). After the expenses are so deducted, the payable tax and the interest payable on the tax pursuant to Section 119 shall be deducted; and then, if any amount remains balance, such amount shall be refunded to the person in arrear of tax.

6) After the proceeds derived from the auction sale have been adjusted pursuant to Sub-section (5), the Department has to give a written notice setting out the process of the adjustment to the person in arrear of tax.

7) In cases where, in adjusting the proceeds derived from the auction sale by following the process referred to in Sub-section (5), the proceeds are not sufficient to fully pay the amounts for the expenses mentioned in that Sub-section, tax and interest, the Department has to re-institute the action to recover the shortfall amount pursuant to Section 104, 111 or this Section.

Explanation: For purposes of this Section,

     (a) "Claimed property" means the property of the person withholding tax, who is in arrears of tax, mentioned in Sub-section (2) of Section 103 or Sub-section (2) of Section 104.

     (b) "Expenses incurred in making claim and auction sale" means the expenses incurred in making claim and auction sale pursuant to Section 104.

     (c) "Person in arrear of tax" includes the person withholding tax mentioned in Sections 103 and 104.