Kindly refer to the above captioned matter.

The Directorate looks after the cases of sick companies which require rehabilitation/ resolution of sickness. Previously the sick companies used to move Board for Industrial and Financial Reconstruction (BIER) under the Sick Industrial Companies (Special Provisions) Act, 1985 (SICA). The BIFR had its benches only at Delhi. This Act has been repealed now w.e.f 01-12-2016. The cases of sick companies are now governed by Insolvency and Bankruptcy Code 2016 (IBC-2016) adjudicated by National Company Law Tribunal (NCLT) having 11 Benches at New Delhi (two benches), Ahmedabad, Allahabad, Bengaluru, Chandigarh, Chennai, Guwahati, Hyderabad, Kolkata and Mumbai. The appeals against the orders of these benches can be filed before National Company Law Appellate Tribunal (NCLAT) at Delhi.

Recently, a case has come to the notice wherein the Hyderabad Bench of NCLT has passed an order under section 30(6) and 31 of IBC-2016 allowing various reliefs under the Income Tax Act without even making the Department a party to the dispute. The steps to contest the same are being initiated separately.

Subsequently the website of Insolvency and Bankruptcy Board of India (www.ibbi.gov.in) has been accessed and it is found that public announcements with regard to initiation of Resolution Process, Voluntary Liquidation Process and Liquidation Process have been made in 287, 29 and 4 cases respectively as of now. Under the provisions of IBC 2016, the NCLT is required to make a public announcement for resolution/insolvency of the sick company (Called corporate debtor under IBC-2016) for submission of claims under section 15 of IBC-2016. You are requested to direct the Assessing Officers having jurisdiction over these cases to notify the demands due from these sick companies to the Resolution Professionals/Insolvency Professionals (details of who are also available on the website) immediately. Simultaneously a request to the NCLT should also be made for imp leading the Department as a party to the case in case any other reliefs under the Income Tax Act are envisaged in the Resolution Plan

. A request to Ministry of Corporate Affairs/NCLT/IBBI for notifying the Department in every such case is being moved separately so that the need to identify such cases on one to one basis is obviated. As this is likely to take some time, the field officers may be directed to regularly access the site of www.ibbi.gov.in so as to prevent any delay in future.

Yours faithfully

(Vikram Gaur)
Addl. Director General (Recovery and TDS)
New Delhi.

IMMEDIATE/ TOP PRIORITY

DIRECTORATE OF INCOME TAX (RECOVERY & TDS)
6TH FLOOR, MAYUR BHAWAN,
CONNAUGHT CIRCUS, NEW DELHI- 110001
TEL.: 011- 23411993, FAX.: 011- 23413218

Dated: 20-09-2017

ADDL. DIRECTOR GENERAL, CBDT

F. No. Addl. DIT (R)/BIFR/2017-18/8/733

 

If you like my article, please share this on :


Search Professional Post Query Post Assignment Read More Articles

In case of business query on above subject, comment here or contact One Roof Consultant




article author

One Roof Consultant

Tax Expert
Tax solutions provider , One Roof Consultant



CHECKOUT TRENDING ARTICLES


  • How to Pay Zero Tax for Income up to Rs 12 Lakhs from Salary for Financial Year 2016-17

  • Do not wait till 31st July to file your Income Tax Return – Keep Ready 9 documents to file before due date

  • Missed to Submit HRA declaration to Employer? You can claim HRA at the time of Filing Returns and get Refund from Income Tax

  • Features and Step wise process - Income Declaration Scheme 2016 – Convert your Black Money to White

  • How to Pay Zero Tax for Business Receipts -Turnover of Rs 1 Crore

  • How to Pay Zero Tax for Professionals (CA, CS, Lawyers, Doctors, etc) earning Income of Rs 16 Lakhs

  • Why you should file Income Tax Return? Benefits of Filing Income Tax Returns

  • How to save Rs 10 crore as retirement corpus

  • Having Turnover of Less than 10 Lakhs? How to File NIL Service Tax return with Circular No 033/2012

  • Starting a New Business or Profession? Compare Structure and type of Entity– Sole, Partnership, LLP or Company

  • Revised and Latest TDS Tax Deducted at Source Rate Chart for FY 2016-17 AY 2017-18

  • Exemption for Capital Gain Arising on Transfer of Resident House Property

  • WILL- Important points, Tax Advantages of will and Format of WILL

  • Revised and Latest TDS Tax Deducted at Source Rate Chart for FY 2016-17 AY 2017-18

  • Exemption for Capital Gain Arising on Transfer of Resident House Property

  • WILL- Important points, Tax Advantages of will and Format of WILL

  • Senior Citizens Tax Benefits in Income Tax Act - Filing, exemptions, advance tax and other benefits

  • Registration process for Trade Mark


  • GET FREE ARTICLE UPDATES VIA EMAIL

    Always stay updated with latest information on expertmile

    I hope by reading this article you got enlighten on ,Lodging of tax arrear claims and impleading as a party before NCLTsREGARDING FILING OF TAX, further to mention before taken any financial decision based on this content it is prefered to take an expert opinion as matter can be subjective.