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2020 (3) TMI 49 - HC - Income TaxReopening of assessment - sanction of Scheme of Arrangement for demerger - dissolution of the Company - rights of the Authorities assessing the affairs of the Company - HELD THAT:- The factual aspects of the affairs of the dissolved Company have to be gone into by the Assessing Officer and hence the learned Single Judge rightly remanded the matter back to the Assessing Officer and issued directions as stated supra. Section 506(5) proviso (a) of the Companies Act and Chapter XV of the Income Tax Act which deals with “liability in special cases” and its clause (L) which deals with “discontinuance of business or dissolution” and these provisions provide as to how and in what manner the liability against such Company arising under the Companies Act and under the Income Tax Act is required to be dealt with. Mere winding up or dissolution of the Company would not take away its liability, which is a matter to be gone into by the Assessing Officer. The decisions referred to by the learned counsel appearing for the appellant are not helpful to his case, since the Hon'ble Supreme Court in latest decision [2019 (3) TMI 703 - SUPREME COURT] has clearly held as stated supra and the relevant provisions of the Companies Act and the Income Tax Act have to be dealt with. Therefore, in our considered view, there is no reason to interfere with the order of the learned Single Judge, since the learned Judge has not gone into the matter on merits and only given liberty to the appellant to raise additional objections and the respondent was also directed to consider the same in accordance with law after extending due opportunity to the appellant and no prejudice would be caused to either parties.
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