Liquidator notification requirement secures GST liability identification; directors face joint and several liability unless exculpated. The appointed liquidator must give intimation of appointment to the Commissioner within a prescribed period, after which the Commissioner may, following inquiry, notify the liquidator of the amount considered sufficient to provide for any tax, interest or penalty payable by the company. If a private company's assessed tax, interest or penalty cannot be recovered after winding up, every person who was a director during the relevant period is jointly and severally liable unless he proves the non-recovery is not due to his gross neglect, misfeasance or breach of duty.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Liquidator notification requirement secures GST liability identification; directors face joint and several liability unless exculpated.
The appointed liquidator must give intimation of appointment to the Commissioner within a prescribed period, after which the Commissioner may, following inquiry, notify the liquidator of the amount considered sufficient to provide for any tax, interest or penalty payable by the company. If a private company's assessed tax, interest or penalty cannot be recovered after winding up, every person who was a director during the relevant period is jointly and severally liable unless he proves the non-recovery is not due to his gross neglect, misfeasance or breach of duty.
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