Held that the Income-tax Settlement Commission had passed an order which was binding on the Department and the Assessing Officer had no power to reopen the assessment. Once the Settlement Commission had settled the tax component between the assessee and the Department, the Departmental authorities do not have any power to reopen such assessment. There is no need to interfere with the finding of the Commissioner (Appeals). Relied on Komalkant Fakirchand Sharma v. Dy. CIT (2019) 417 ITR 11 (Guj)(HC). Tribunal also held that that the resolution plan approved by the committee of creditors and then by the National Company Law Tribunal is binding on all the parties such as the Central Government and the related dues not forming part of the resolution plan shall stand extinguished. The Commissioner (Appeals) had rightly held that claims which were not part of the resolution plan stood extinguished. Relied on Ghanashyam Mishra and Sons P. Ltd. v. Edelweiss Asset Reconstruction Co. Ltd (2021)) 227 Comp Cas 251 (SC) / 91GSTR 28 (SC). (AY.2012-13, 2013-14)
Asst. CIT v. Pradip Overseas Ltd. (2023)107 ITR 60 (SN) (Ahd.)(Trib.)
S. 147 : Reassessment-Settlement Of Case-Settlement Commission passing order settling case-Binding on department-Assessing Officer has no power to reopen assessment for year forming part of Settlement-Recovery of tax-Companies-Insolvency resolution-Resolution plan as approved by committee of creditors approved by National Company Law Tribunal-Binding on all Parties-Dues not forming part of resolution plan stand extinguished-Department has no power to reopen assessment [S.148, 245C(1), 245D(4)]