Enforcement of resolution-plan directions continues without a Supreme Court stay, preventing suspension of redistribution and escrowed-fund distributi...
Third-party ownership claims over attached property require Special Court adjudication where purchasers lack registered sale deeds and bona fides rema...
Pure-agent reimbursements in clearing and forwarding services are excluded from taxable value when qualifying third-party payments are properly record...
Customs relief for Strait of Hormuz maritime disruptions remains available, with existing conditions continuing unchanged through the extended validit...
HC held that once a Resolution Plan is approved under IBC Section 31(1), only debts specified in the plan remain payable, binding on all authorities. Tax proceedings relating to the period prior to plan approval stand extinguished. The impugned show cause notice and order under Section 73 of CGST Act for Financial Year 2019-20, issued after the Resolution Plan's approval on 26.10.2020, were deemed invalid and without jurisdiction. Consistent with Supreme Court precedent, the tax authorities cannot initiate or continue proceedings for pre-resolution plan dues. The petition was allowed, quashing the impugned SCN and order, effectively recognizing the clean slate principle post-corporate insolvency resolution process.
HC held that once a Resolution Plan is approved under IBC Section 31(1), only debts specified in the plan remain payable, binding on all authorities. Tax proceedings relating to the period prior to plan approval stand extinguished. The impugned show cause notice and order under Section 73 of CGST Act for Financial Year 2019-20, issued after the Resolution Plan's approval on 26.10.2020, were deemed invalid and without jurisdiction. Consistent with Supreme Court precedent, the tax authorities cannot initiate or continue proceedings for pre-resolution plan dues. The petition was allowed, quashing the impugned SCN and order, effectively recognizing the clean slate principle post-corporate insolvency resolution process.
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