<h1>Relaxation of Section 79: Insolvency Resolution Plans to Allow Loss Carry Forward Despite Ownership Changes Since April 2018.</h1> Section 79 of the Act restricts the carry forward and set off of losses in closely held companies unless there is continuity in the beneficial ownership of shares with at least 51% voting power. This poses challenges for companies undergoing insolvency resolution under the Insolvency and Bankruptcy Code, 2016, due to changes in share ownership. To address this, a proposal aims to relax Section 79 for companies with approved resolution plans, effective from April 1, 2018, applicable from the assessment year 2018-19. Additionally, Section 140 will be amended to allow insolvency professionals to verify returns during the resolution process.