Transfer-pricing benchmarking and capital-receipt principles sustained taxpayer relief, while unsupported property-advance write-offs remained disallo...
Pre-existing operational debt disputes require genuine evidence, while undirected running-account payments may be appropriated on a first-in-first-out...
Agency in CNG distribution makes outlet operators commission agents, rendering taxable Business Auxiliary Service rather than purchasing goods for res...
A Section 9 IBC application cannot be admitted where the record shows a genuine and plausible pre-existing dispute before the demand notice. Applying Mobilox and later decisions, the Court held that the adjudicating authority at this stage only examines whether a plausible contention requiring investigation exists, not the ultimate merits of the dispute. Written complaints about defective supplies, repeated demands for reconciliation of accounts, a prior police complaint, discrepancies in ledger accounts, and shifting stands on the amount due showed no consensus on liability or quantum and indicated more than a sham defence. The NCLT had correctly rejected the application, and the NCLAT was wrong to reverse that finding.
A Section 9 IBC application cannot be admitted where the record shows a genuine and plausible pre-existing dispute before the demand notice. Applying Mobilox and later decisions, the Court held that the adjudicating authority at this stage only examines whether a plausible contention requiring investigation exists, not the ultimate merits of the dispute. Written complaints about defective supplies, repeated demands for reconciliation of accounts, a prior police complaint, discrepancies in ledger accounts, and shifting stands on the amount due showed no consensus on liability or quantum and indicated more than a sham defence. The NCLT had correctly rejected the application, and the NCLAT was wrong to reverse that finding.
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