Answer

1. F

   Facts

   For unpaid demands the officer can send a recovery notice to your bank asking it to pay from your account. This usually happens only after the demand was confirmed and unpaid.

2. P

   Provisions and law

   • Sec 226(3), Income-tax Act 1961The officer can require any person holding money for you, such as a bank, to pay it towards your tax arrears (2025 Act number to be confirmed).
   • Sec 220, Income-tax Act 1961A demand is payable within 30 days of service of the notice of demand; simple interest of 1% a month runs after that; the officer may allow more time or instalments, and may treat you as not in default while an appeal is pending (2025 Act number to be confirmed).
3. A

   Analysis

   Get a copy of the notice from the bank and check the DRN and assessment year. If the demand is already paid, stayed or under rectification, write to the officer immediately with proof and ask for the notice to be withdrawn. If the demand is correct, paying it quickly releases the account. Keep in touch with the officer in writing.

4. C

   Conclusion

   1. 1Get the recovery notice details from the bank.
   2. 2Check the demand on the portal.
   3. 3If already paid or stayed, send proof to the officer and ask for withdrawal.
   4. 4If correct, pay and send the challan to the officer and bank.
   5. 5Follow up until the bank lifts the hold.

General guidance from TaxSavvy’s library of money processes. Laws change; your Savvy confirms the answer on your exact case before anything is filed.