142. Any business turnover tax in default shall be a first charge upon all the assets of the defaulter: Provided that-
| (i) such charge shall not extend to or affect any assets sold by the defaulter to a bona fide purchaser for value prior to the seizure of the same in accordance with the provisions of section 143; |
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| (ii) as regards immovable property, the business turnover tax shall not rank in priority to any lease or encumbrance created bona fide for value and registered prior to the date of such seizure; and |
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| (iii) as regards movable property, where business turnover tax for more than one year of assessment is in default, the tax for one year only, to be selected by the Commissioner, shall rank in priority to any lien or encumbrance created bona fide for value prior to the date of default. |
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Sri Lanka Consolidated Acts