In a recent ruling, the Supreme Court has refused to interfere with the Gujarat HighCourt’s decision confirming the decision that no fresh income tax claims or reassessment proceedings can be initiated once a resolution plan under the Insolvency and Bankruptcy Code (IBC), 2016 is approved.
The respondent in the SLP, Ausil Corporation, was issued with reassessment notices issued under Sections 148 and 148A(d) of the Income Tax Act, 1961 for Assessment Year 2015-16.
The company, however, which had gone through the Corporate Insolvency Resolution Process (CIRP), argued that such notices were untenable as the Income Tax Department had already filed its claim of ₹1.26 crore during CIRP, which was duly verified and…