TaxTMI 
TaxTMI 
TaxTMI 
2025 (7) TMI 907
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....nior Standing Counsel Mr. Karan G. Sanghani waives service of the notice of rule on behalf of the respondent. 3. With the consent of the learned advocates for the respective parties, the matter is taken up for hearing, as the issue involved is very short. 4. The petition has been filed under Article 226 of the Constitution of India with the following prayers :- "(a) Quash and set aside the impugned notice u/s 148 of the Act dated 31.03.2015 at Annexure A to this petition; (b) Pending the admission, hearing and final disposal of this petition, to stay further proceedings pursuant to the impugned notice; (c) Any other and further relief deemed just and proper by granted in the interest of justice; (d) To provide for the cost of p....
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....approval date. 5.6 The respondent has issued the impugned notice dated 31.03.2025, under Section 148 of the Act. 5.7 Challenging the legality of the impugned notice dated 31.03.2025, the petitioner has filed this petition. 6. Mr. B.S. Soparkar, learned advocate appearing on behalf of the petitioner submitted that on the approval of the Resolution Plan under Section 31 of the IBC, all dues of the Corporate Debtor except those which have been specifically provided for in the Resolution Plan would stand extinguished in terms of the provisions of the IBC and the decisions of the Hon'ble Apex Court in the case of The Committee of Creditors of Essar Steel Ltd. Vs. Satishkumar Gupta reported in (2020) 8 SCC 531 and in case of Ghanshyam Mishra a....
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....s of Section 31(1) of the IBC" ..... ..... (ii) It is also clarified that any Tax liabilities pertaining to a period prior to and Including the NCLT Approval Date (including penalties levied or leviable, prosecution and interest), even if such past liability pertaining to the aforesaid period arises any time in the future post the NCLT Approval Date whether assessed or unassessed or determined or undetermined, by the relevant Governmental Authority shall be deemed to be extinguished and written off with effect from the NCLT Approval Date. (jj) With effect from the NCLT Approval Date, the Corporate Debtor shall be entitled to carry forward and set off all the accumulated Tax losses and unabsorbed depreciation of the Corporate Deb....
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....ceedings have been initiated pursuant to the aforesaid, the same shall stand extinguished and abated. The Corporate Debtor shall file necessary applications as may be required to give effect to the aforesaid and as may be required under the provisions of Applicable Laws. It is further clarified that such filings shall not be condition to the implementation of this Plan or affect the timelines for Implementation in any manner whatsoever. (oo) On and from the NCLT Approval Date, all unassessed / assessed Tax liabilities for period prior to the NCLT Approval Date, in relation to any dues arising out of withholding tax compliance including penalties, fees, interest, levies, etc. or any other charges whatsoever arising of assessment, re-asses....
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....), the Hon'ble Apex Court has held as under:- "107. For the same reason, the impugned NCLAT judgment in holding that claims that may exist apart from those decided on merits by the resolution professional and by the Adjudicating Authority/Appellate Tribunal can now be decided by an appropriate forum in terms of Section 60(6) of the Code, also militates against the rationale of Section 31 of the Code. A successful resolution applicant cannot suddenly be faced with "undecided" claims after the resolution plan submitted by him has been accepted as this would amount to a hydra head popping up which would throw into uncertainty amounts payable by a prospective resolution applicant who would successfully take over the business of the corporate ....
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....tate Government or any local authority, if not part of the resolution 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. 138 In the forgoing paragraph, we have held that the 2019 Amendment to Section 31 IBC is clarificatory and declaratory in nature and therefore will have a retrospective operation. As such, when the resolution plan is approved by NCLT, the claims, which are not part of the resolution plan, shall stand extinguished and the proceedings related thereto shall stand terminated. Since the subject-matter of the petition are the proceedings which relate to the claims of the respond....