TaxTMI 
TaxTMI 
TaxTMI 
2023 (6) TMI 806
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....ntre (NFAC), Delhi [in short "the ld. CIT(A)"], which in turn arise out of separate assessment orders passed by the Assessing Officer under section 143(1)/142(3)/147/154 of the Income Tax Act, 1961 (hereinafter referred to as "the Act"). 2. At the outset, Shri Nitin Gheewala, Ld. Counsel for the assessee stated that Ld. National Company Law Tribunal (in short 'NCLT'), Ahmedabad vide its order dated 01.01.2021, passed in IA No.661 of 2020 with IA No.759 of 2020 in CP(IB) No. 453 of 2018 approved by the resolution plan (second revised resolution plan) dated 19.09.2020 with addendums dated 19.09.20 of MCPI Pvt. Ltd. (successful resolution applicant), in exercise of its power under section 31(1) of Insolvency and Bankruptcy Code, 2016 (in shor....
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....part of resolution plan shall stand extinguished and no person will be entitled to initiate or continue any proceedings in respect to a claim which is not a part of resolution plan. The ld Counsel further states that Hon'ble Supreme Court further held that amendment in Section 31 of I & B Code is clarificatory in nature and therefore will be effective from the date on which I&B Code has come in effect. It was also held that all dues including statutory dues owed by the Central Government, any State Government or any local authority, if not part of the resolution plan, shall stand extinguished and no proceeding in respect of such dues for the period prior to the date on which the adjudicating authority grants its approval under section 31 co....
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.... the order of Hon'ble Supreme Court in Ghanashyam Mishra & Sons Pvt. Ltd. Vs. Edelweiss Asset Reconstruction Co. Ltd. (supra) and the order passed by the Hon'ble Jurisdictional High Court in Tax Appeal No. 875 of 2013 dated 24/01/2022. 5. Learned CIT-DR for the Revenue, vehemently argued that the interest of revenue may be protected and revenue may be given liberty to move appropriate application/ appeals either before this Tribunal or before NCLT. He further submits that all appeals of the assessee may be dismissed at this stage, however, a suitable instruction may be given to the assessing officer to modify the demand under section 156A of the Act as per the NCLT order and as per its further direction. 6. We have heard both the parties ....
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....thority constituted under any other law for the time being in force, shall not be suspended or terminated on the grounds of insolvency, subject to the condition that there is no default in payment of current dues arising for the use or continuation of the license, permit, registration, quota, concession, clearances or a similar grant or right during the moratorium period;] (2) The supply of essential goods or services to the corporate debtor as may be specified shall not be terminated or suspended or interrupted during moratorium period. [(2A) Where the interim resolution professional or resolution professional, as the case may be, considers the supply of goods or services critical to protect and preserve the value of the corporate debt....
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....ner. Section 14 of the I & B Code also states that the moratorium shall have effect from the date of such order till the completion of the corporate insolvency resolution process. Therefore, we note that section 14 of I & B code, 2016, is a self-explanatory provision. Hence, we note that the claims including statutory dues owned to the Central Government any State Government, if not part of resolution plan is also extinguished and no proceeding in respect of such dues prior to the date which the adjudicating authority grants its approval under section 31(1) could be continued. 8. We note that Hon`ble High Court of Telangana in the case of Sirpur Paper Mills Ltd [2022] 135 taxmann.com 188 (Telangana), held that where NCLT by order had admit....
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....solution plan, shall stand extinguished and no proceedings in respect of such dues for the period prior to the date on which the Adjudicating Authority grants its approval under section 31 could be continued." 9. From the above findings of Hon`ble High Court of Telangana in the case of Sirpur Paper Mills Ltd(supra), it is vivid that all claims, which are not a part of resolution plan, shall stand extinguished and no person will be entitled to initiate or continue any proceedings in respect to a claim, which is not a part of the resolution plan. We also note that provisions of section 238 of the IBC which clearly says that provisions of IBC shall have an overriding effect over all other laws. This, if there is any doubt, section 238 IBC mak....