HC ruled that additional tax demands against the corporate ...

Corporate Debt Resolution Shields Restructured Company from Post-Approval Tax Demands Under Insolvency and Bankruptcy Code

April 25, 2025

Case Laws GST HC

HC ruled that additional tax demands against the corporate debtor (CD) after NCLT's Resolution Plan approval are invalid. The court held that post-resolution plan claims by creditors would impede the implementation of the approved restructuring process. Specifically, assessment orders and demand notices for tax years 2012-13, 2013-14, and 2017-2018 were quashed. The fundamental legal principle affirmed is that once an NCLT-approved Resolution Plan is in place, subsequent creditor claims are precluded to ensure a clean slate for corporate revival. The petition was consequently allowed, protecting the integrity of the insolvency resolution mechanism under the IBC.

View Source

← Previous Next →

HC ruled that additional tax demands against the corporate ...

Corporate Debt Resolution Shields Restructured Company from Post-Approval Tax Demands Under Insolvency and Bankruptcy Code

April 25, 2025

Case Laws GST HC

You may also like:

Initiation of CIRP - Guarantor - Extinguishment of debt - The NCLAT upheld the NCLT's decision, finding that ECL did not act as a guarantor for ESL's debts based on the...

The National Company Law Appellate Tribunal, Principal Bench, New Delhi, addressed the validity of the Corporate Insolvency Resolution Process (CIRP) against a...

SC adjudicated a dispute concerning the executability of an arbitral award post-corporate insolvency resolution plan. The Court held that upon NCLT's approval of the...

The National Company Law Appellate Tribunal (NCLAT) dismissed the appeal, upholding the order admitting the Section 7 application filed by ICICI Bank against the...

Once a resolution plan is approved u/s 31(1) of the Insolvency and Bankruptcy Code, 2016 (IBC), only the debts specified in the resolution plan remain payable. This...

HC affirmed tax authority's adjustment of AY 2010-11 refund against pre-existing tax liabilities of corporate debtor. Resolution applicant's claim to refund rejected on...

Corporate guarantee not discharged by approval of resolution plan for principal borrower under IBC. Supreme Court judgments in Lalit Kumar Jain, Maitreya Doshi, and Ajay...

The High Court held that once a resolution plan is approved u/s 31(1) of the Insolvency and Bankruptcy Code, 2016 (IBC), only the debts specified in the resolution plan...

HC held that once a Resolution Plan is approved under IBC Section 31(1), only debts specified in the plan remain payable, binding on all authorities. Tax proceedings...

Once the resolution plan is approved under the Insolvency and Bankruptcy Code, any outstanding claims, including those under the Gujarat Value Added Tax Act for...

The SC dismissed the appeal holding that when a company proposes to increase its subscribed capital by converting debt into equity shares, shareholder approval through a...

The High Court addressed the validity of an assessment against a company that had been dissolved. The court ruled that demand/penalty notices issued post-approval of the...

The Insolvency and Bankruptcy Code, 2016 (IBC) has overriding effects over other laws as per Section 238. After approval of the Resolution Plan by NCLT, pending...

Initiation of insolvency resolution of a personal guarantor of the Corporate debtors - The law doesn't envisage that the insolvency resolution of the personal guarantor...

The adjudicating authority has jurisdiction to cancel a registered General Power of Attorney (PoA) executed in favor of the appellant, who was a nominee of the corporate...

Quick Updates: