Revenue’s appeal dismissed as NCLT admitted application filed u/s 14 of IBC

ACIT Vs Dharitrimaa Urja Pvt. Ltd. (ITAT Delhi)

ITAT Delhi held that as National Company Law Tribunal (NCLT) has admitted application filed by the assessee u/s. 14 of the Insolvency and Bankruptcy Code, 2016, the present appeal filed by the revenue deserves to be dismissed.

Facts- Revenue has preferred the present appeal contesting that CIT(A) has erred in law and on the facts of the case in deleting the addition made by the AO on account of share premium received u/s. 56(2) (viib) of Income Tax Act, 1961.

Conclusion- Held that considering the fact that the NCLT in IB-408 (ND-2022) vide order dated 09/06/2023 had declared moratorium consequently, as per Section 14 of the Insolvency and Bankruptcy Code 2016, it was order to prescribe the registration of suits or continuation of pending suits or proceedings against the corporate debtor including execution of any judgement decree or order in any court of law Tribunal arbitration, penal or other authorities. In view of the same, the present appeal filed by the Department of Revenue is deserves to be dismissed, accordingly, the Appeal filed by the Revenue is dismissed with an opportunity to approach the Tribunal in case of any necessity on any cause of action touching the issues involved in the present appeal.

FULL TEXT OF THE ORDER OF ITAT DELHI

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