Alstom Transport India Limited Vs Additional Commissioner (Gujarat High Court)
Once the amalgamation scheme is approved, no refund application for amalgamating company post sanction- Gujrat high court dismissed the petition.
In recent case of ALSTOM TRANSPORT INDIA LIMITED Versus ADDITIONAL COMMISSIONER, CGST AND CENTRAL EXCISE (APPEALS) & ORS., Gujrat High court held that, operational deficiency cannot bypass the regulating provision. Once the scheme of amalgamation is approved by the NCLT, all the statutory provisions such of new registration of amalgamated company, cancellation of registration for amalgamating company and transfer of ITC is necessary to be followed by the taxpayer.
Background:-
The National Company Law Tribunal (NCLT) dissolving three entities – and sanctioning their amalgamation into the petitioner. In terms of the Scheme of Amalgamation, the entire business of the three dissolved entities, including, inter alia, all assets, liabilities, rights, title, interests, obligations, and immovable properties, one of them being petitioner upon the Scheme coming into effect from the appointed date. The aforesaid arrangement and development were duly intimated to the GST department within two weeks from the effective date.
Part Balance in the credit ledger was transferred to the amalgamated company and part balance is claimed as refund for Export of goods (by Transferor company). Refund application was adjudicated and sanction. Later matter was reviewed as per Sec 107(2) and review appeal was filed against the refund order, and demand was raised rejecting the refund as erroneous refund.
