TaxTMI 
TaxTMI 
Clarification regarding the treatment of statutory dues under GST law in respect of the taxpayers for whom the proceedings have been finalised under Insolvency and Bankruptcy Code, 2016
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..../2022-GST/SIKKIM Date: 27th December, 2022 CIRCULAR Subject: Clarification regarding the treatment of statutory dues under GST law in respect of the taxpayers for whom the proceedings have been finalised under Insolvency and Bankruptcy Code, 2016- reg. Attention is invited to Circular No.134/04/2020-GST dated 23rd March, 2020, wherein it was clarified that no coercive action can be tak....
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....such statutory dues under SGST Act and existing laws, after finalization of the proceedings under IBC. 3. In order to ensure uniformity in the implementation of the provisions of the law across the field formations, the Government, in exercise of its powers conferred under section 168(1) of the SGST Act, hereby clarifies as follows. 4.1 Section 84 of SGST Act reads as follows: "Sect....
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....roceedings is pending; (iii) any recovery proceedings initiated on the basis of the demand served upon him prior to the disposal of such appeal, revision or other proceedings may be continued in relation to the amount so reduced from the stage at which such proceedings stood immediately before such disposal." 4.2 As per Section 84 of SGST Act, if the government dues against any person ....
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....ted on application from any stakeholder of the entity like the firm, creditors, debtors, employees etc. and passes an order approving the resolution plan. As the proceedings conducted under IBC also adjudicate the government dues pending under the SGST Act or under existing laws against the corporate debtor, the same appear to be covered under the term „other proceedings‟ in Section 84....