The government has brought the Insolvancy and Bankruptcy Code with effect from Assessment Year 2018-19 (i.e. Financial Year 2017-18), in case of a company, against whom an application for corporate insolvency resolution process has been admitted by the Adjudicating Authority under section 7 or section 9 or section 10 of the IBC. As per media reports ( April 2018) in six cases, resolution plans have been approved at the NCLT, and in another four cases, resolution plans have been submitted to the tribunal. Around 921 cases are under the different stages of the IBC proceedings, according to the data from the IBBI
This post is discussing the tax implications of ibc i.e taxation issues that related to such takeovers and readers will find that the persons who have become successful in acquiring the stressed companies, may also feel stressed on account of certain burning taxation issues.