 "IBC, NPAs, insolvency, bankruptcy, companies")
The Central Board of Indirect Taxes and Customs (CBIC) issued two key circulars on Wednesday, clarifying its stance on the treatment of tax dues from companies undergoing insolvency and the limitation period for issuing show-cause notices under the Goods and Services Tax (GST) regime. This is following the approval of the GST Council in its December 17 meeting.
On the issue of recovery of tax dues from firms under insolvency, the apex body of indirect taxation clarified that proceedings under Insolvency and Bankruptcy Code (IBC) would now come under the purview of Section 84 of the CGST Act. The provision deals with the process to be followed when the original tax, interest or penalty (‘Government Dues’) stands reduced under an
