Appeal allowed; impugned order quashed as regulator failed to prove nexus or manipulative scheme; sale genuine - s.12A(a)-(c), Regs 3(a)-(d),4(1),4(2)...
Appellant's ring-back tone service held OIDAR, taxable domestically for 01.07.2012-31.07.2016; liability confirmed, penalties vacated, remanded for re...
NCLAT allowed the appeal filed by the Liquidator of the corporate debtor and set aside the NCLT order rejecting dissolution. NCLAT held that NCLT committed a patent error in presuming the Income Tax Department to be a secured creditor and in mechanically relying on precedents that had already been distinguished on facts. The record showed that notice had been duly served on the Income Tax Department, but no appearance was entered, and its counsel had earlier stated that no charge existed over the corporate debtor's assets and that Rainbow Papers was inapplicable. NCLAT remanded the matter to NCLT with a direction to pass an order of dissolution of the corporate debtor in accordance with law.
NCLAT allowed the appeal filed by the Liquidator of the corporate debtor and set aside the NCLT order rejecting dissolution. NCLAT held that NCLT committed a patent error in presuming the Income Tax Department to be a secured creditor and in mechanically relying on precedents that had already been distinguished on facts. The record showed that notice had been duly served on the Income Tax Department, but no appearance was entered, and its counsel had earlier stated that no charge existed over the corporate debtor's assets and that Rainbow Papers was inapplicable. NCLAT remanded the matter to NCLT with a direction to pass an order of dissolution of the corporate debtor in accordance with law.
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