Tax deduction compliance and payee income recognition govern consultancy disallowance, while no exempt income prevents related expenditure disallowanc...
Derivative abetment liability fails when correctly declared imported components establish no underlying improper importation by the principal importer...
Tax exemption for regulatory authority income applies retrospectively, subject to non-commercial activity, unchanged income sources, and return filing...
Insolvency and BankruptcyFebruary 11, 2022Case LawsAT
Initiation of CIRP - The I&B Code, 2016 is not a ‘Debt Enforcement Procedure’. The application of an ‘operational creditor’ is not maintainable, if the ‘Corporate Debtor’ has a dispute about its outstanding/debt. The ‘dispute’ is to be seen by the ‘Adjudicating Authority’ as one based on tenable substantial grounds. In this connection, it is relevantly pointed out that if there is a ‘dispute’ about the debt, then, it is for the ‘applicant’ to approach the competent Civil Court to decide the triable issues. In short, the ‘Adjudicating Authority/Appellate Tribunal’ is not to be utilised as a ‘Debt Collecting Agent’. - AT
Initiation of CIRP - The I&B Code, 2016 is not a ‘Debt Enforcement Procedure’. The application of an ‘operational creditor’ is not maintainable, if the ‘Corporate Debtor’ has a dispute about its outstanding/debt. The ‘dispute’ is to be seen by the ‘Adjudicating Authority’ as one based on tenable substantial grounds. In this connection, it is relevantly pointed out that if there is a ‘dispute’ about the debt, then, it is for the ‘applicant’ to approach the competent Civil Court to decide the triable issues. In short, the ‘Adjudicating Authority/Appellate Tribunal’ is not to be utilised as a ‘Debt Collecting Agent’. - AT
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
TaxTMI 
of 4819 
Join Channel 
