Section 47 in The Kerala Agricultural Income Tax Act, 1991
47. Power to assess individual members of certain associations and companies.
(1)Where the Agricultural Income tax Officer is satisfied that any association of individuals or a company is under the control of one member or share holder thereof and that such association or company has been formed or is being used for the purpose, of evading or reducing the liability to tax of any member or share holder thereof, he may, with the previous approval of the Commissioner, pass an order stating that the sum payable as tax by the association or company shall not be determined and there upon the share of each member or share holder in the agricultural income of the association or company shall be included in his total agricultural income for the purpose of his assessment thereon.Explanation: - A member of an association or company who owns the whole or the major portion of the capital of the association or company shall not by reason only of that fact, be deemed to control the association or company.(2)The Commissioner shall not give his approval to an order proposed to be passed by the Agricultural Income tax Officer under sub-section (1), unless he has given the association or company concerned an opportunity of being heard.(3)Where any member of an association of individuals or the share holder of a company makes default in the payment of tax on his share of income which has been included in his total agricultural income under the provisions of sub-section (1), such tax may be recovered from the assets of the association or company, as the case may be.(4)where tax is recoverable from a company or association under this section, a notice of demand shall be served upon it in the prescribed form showing the sum so payable and such company or association shall be deemed to be the assessee in, respect of such sum, for the purposes of Chapter IX.
