Income Tax Officer vs Registrar Of Companies And Ors.

This appeal is filed by Income Tax Authority, through its Income Tax Officer, under Section 252(1) of the Companies Act, 2013 (for brevity ‘the

Act’) against the order of striking off the name of the company M/s Godavari Restaurant Pvt. Ltd. (for brevity ‘the Company’) passed by

the respondent no.1 Registrar of Companies, under section 248 (1) of the Act read with Rule 7 of Companies (Removal of Names of Companies from

the Register of Companies) Rules, 2016 published on 30.06.2017 vide notification no. ROC-DEL/248(5)/STK-7/2879, the respondent herein.

The company is incorporated as a Private Limited Company under the provision of Companies Act, 1956 with the Registrar of Companies, NCT of

Delhi and Haryana on 16.05.2008 having CIN No. U55209DL2008PTC177310.

The company is having registered office at plot no.-18, 3rd Floor, Wadhwa Plaza-III, Sector-10, Dwarka, New Delhi-110045.

Authorized share capital of the Company is Rs.5,00,000/-and issued, subscribed and paid up share capital of the Company is Rs.3,00,000/-.

As per the notice of non- compliance of provisions of the Companies Act, 2013 in respect to filing of annual returns and financial statements for the

financial years 2009-10 to 2017-18, the name of the company was struck off in terms of provision of Section 248(1) of the Companies Act, 2013 read

with Rule 7 and Rule 9 of the Companies (Removal of Names of Companies from the Register of Companies) Rules, 2016.

The Appellant has submitted that service was duly affected on the respondents. Other than the Registrar of companies, none appeared on behalf of

the other respondents. While Respondent No. 2 and Respondent No. 3 were proceeded ex-parte, and Registrar of companies submits that they have

no objections to the prayer of the applicant being granted by this bench.

The Appellant prays for the restoration of company namely M/s Godavari Restaurant Pvt. Ltd. in order to take forward proceedings initiated

against the company. As per averments, on the basis of the Non-Filers Monitoring System information received by the Income Tax department during

the assessment year 2010-2011, the respondent company had received an amount of Rs. 1,61,765/- on which TDS has been deducted under Section

194A of the Income Tax Act, 1961 and further the respondent company has not filed its return of income for the assessment year 2010-11.

The appellant has further submitted that it appears that there is tax evasion which has escaped assessment within the meaning of Section 147 &

148 of the Income Tax Act and action in accordance with law is required to be initiated against the company. Notice dated 31.03.2017 under Section

148 of the Income Tax Act, 1961 was issued to the respondent at its registered address and email address as well as through affixation, to which there

is no response, from any of the Respondents.

The appellant has further submitted that Reasons for issue of notice under section 148 of the Income Tax Act, 1961 were served on the

respondents and also Form for recording the reasons for initiating the proceedings under section 148 is annexed with the appeal.

The Ld. Counsel for the Income Tax submits that assessment order was passed on 19.12.2017 under section 144/147 of the Income Tax Act,

1961.

The Ld. Counsel for the Income Tax submits that in order to recover the taxes on the undisclosed income of the respondent company and to

charge and recover the revenue from the transactions from the respondent company during the year 2010-11, it necessitates restoration of the

Respondent Company in the Register of Companies to proceed further in accordance with law, since as on date the proceedings cannot continue

against the company, for it being struck off.

The income tax department is an aggrieved party within the meaning of section 252(1) as it has to recover taxes payable, if any, by respondent

company and prejudice will be caused to revenue if the name of the respondent company is not restored back. In above circumstances, this appeal is

allowed. The Registrar of companies is therefore directed to restore the name of the Respondent Company in their Register and also proceed to take

such other and further penal action against the respondents in accordance with the statutory provisions. The name of the Appellant Company shall

then, as a consequence, stand restored to the Register of the Registrar of Companies, as if the name of the company had not been struck off in

accordance with Section 248(1) of the Companies Act, 2013.

The appeal is disposed of accordingly.

Let the copy of the order be served to the parties.