2021 (7) TMI 1248

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....ncome Tax] R2 : Mr.Sridhar Bavisetty Deputy Official Liquidator ORDER The relief sought for in the present writ petition is to call for the records of the Respondent dated 28.02.2018 bearing reference no.AACCS9190G/Block Asst.92-93 issued under Section 179 of the Income Tax Act, 1961 with consequent direction to the Respondent in exercise of the jurisdiction against M/s.Ramakrishna Steel Industries Ltd., - a Public Limited Company - which is under liquidation - not to proceed against the petitioners in consideration of their reply dated 29.12.2017 submitted to the respondent. 2. The learned Senior counsel appearing on behalf of the writ petitioners made a submission that the show cause notice impugned is without jurisdiction and in....

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....mited in respect of which the tax due was a public limited company or a private limited company. It is to be determined by the authority. He further submits that the drift has been to lift the corporate and liability can be fastened on the Director though Section 179 of the Income Tax Act, 1961. He also plalced reliance on the decision of the Hon'ble Gujarat High Court in Ajay Surendea Patel Vs. DC IT [2017] 78 Taxmann.com 399 (Gujarat) referred to supra. 2.Learned Standing Counsel appearing for the Respondent, placing strong reliance on the Doctrine of Piercing the Corporate Veil recognized by the Hon'ble Supreme Court of India in Commissioner of Income Tax, Madras -vs- Sri Meenakshmi Mills Ltd., (AIR 1967 SC 819) for tax ....

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....ords to conclude that the said assessee in default companies namely M/s.Gangotri Textiles Ltd and NEPC Agro Foods Ltd was a private limited company. 12.There are no records to substantiate the said companies was a private limited company. Therefore, challenge to invocation of Section 179 of the Income Tax Act also appears to correct. Considering the fact that the records are not in produced either by the petitioner nor the respondent, I am of the view that the impugned orders is liable to be quashed. These cases are remitted back to the respondent to pass appropriate orders, after considering the definition of the 'Company' in Section 262(68) and (71) of the Companies Act, 2013 and ..deals of the Companies Act, 1956. The re....