The I-T department on Tuesday reportedly froze the bank accounts of Kingfisher Airlines, allegedly over part payment of dues.
Sources said that the airlines had been slapped with a notice of Rs 342 crore.
The airlines had to repay Rs 9 crore every week. KFA made a part payment of Rs 4.5 crore for two weeks.
Since November 2011, the Service and Income Tax departments have frozen as many as 40 bank accounts of the airline for non-payment of these levies. While it owes Rs 76 crore to the Service Tax department, the airline has to pay nearly Rs 60 crore to the I-T department in TDS arrears.