Gujarat HC Quashes Income Tax Demand Not Included in IBC Resolution Plan

V S Texmills Private Limited Vs ACIT (Gujarat High Court) Gujarat High Court recently quashed recovery notices issued by the Assistant Commissioner of Income Tax (ACIT) against V.S. Texmills Private Limited for the Assessment Year 2017-18, citing the prior approval of the company’s resolution plan under the Insolvency and Bankruptcy Code (IBC). The ruling, delivered in response to a petition filed by V.S. Texmills, reinforces the principle that claims not included in an approved resolution plan stand extinguished. V.S. Texmills Private Limited had faced Corporate Insolvency Resolution Pr...