Section 21 in The Punjab Tax on Luxuries Act, 2009
21. Restrictions on transfer of property.
(1)No proprietor against whom any recovery proceedings under this Act are pending shall create a charge on or part with the possession by way of sale, mortgage, gift, exchange or any other mode of transfer whatsoever of any of his assets with the intention to avoid or evade payment of tax, penalty, interest or any other sum due or likely to become due against him.(2)Any charge or transfer made in violation of the provisions of sub-section (1), shall be void as against any claim in respect of tax or any other sum, payable by the proprietor till the completion of such proceedings:Provided that such charge or transfer shall not be void, if it is made with the previous permission of the Commissioner or the payment of tax or any other amount due from such proprietor, has been fully secured by furnishing a bank guarantee. In the case of outstanding arrears, the Commissioner shall take into account any other liability under this Act.Explanation. - For the purpose of this section, 'assets' means land, building, machinery, plant, shares, securities and fixed deposits in the banks to the extent, to which any of the aforesaid assets, do not form part of the stock in trade of the business of the proprietor.
