The Center has set up National Company Law Tribunal (NCLT) on June 1, 2016 to look into cases relating to insolvency and bankruptcy of companies, especially those that have a huge bank debt. It works like the courts of law in the country and determines the facts of each case and decides in accordance with principles of natural justice.
There were multiple petitions filed with NCLT benches by Tax departments pertaining to treatment of their dues during the Corporate Insolvency Resolution Process (CIRP) under Insolvency and Bankruptcy Code (IBC), 2016.
Why taxman is running to NCLT for relief?
Stand taken by various tax departments:
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