The Central Board of Direct Taxes (CBDT) publishes “Rules prescribing ‘any other person’ to verify ITR & appear before authorities for Co./LLP.”
The board authorized under clause (c) and clause (cd) of section 140 and clause (viii) of sub-section (2) of section 288 read with section 295 of the Income Tax Act, 1961 has inserted Rule 12AA and 51B by notifying Income-tax Rules by the Income-tax (24th Amendment) Rules, 2021, which seeks to further amend the Income-tax Rules, 1962.
The amended rule 51B proceedings through the appearance from an authorized representative inside the specific cases where it states that cause “(viii) of sub-section (2) of section 288, any other” individual, for a company or a limited liability partnership as per the case will be the individual appointed through the adjudicating authority for releasing the responsibilities of the interim resolution professional, a resolution professional or a liquidator seeing the case beneath “the insolvency and Bankruptcy Code, 2016 (31 of 2016) and the rules and regulations made thereunder.”
Section 288 (2) (viii) of the Income Tax Act states that the individual who directly or indirectly posted a business relationship through the taxpayer of the nature as mentioned.
CBDT also inserted rule 2AA towards the prescribed person for the intention of clause (c) and clause (cd) of section 140 which reads as “For the purpose of clause (c) or clause (cd), as the case may be, of section 140, any other person shall be the person, appointed by the Adjudicating Authority for discharging the duties and functions of an interim resolution professional, a resolution professional, or a liquidator, as the case may be, under the Insolvency and Bankruptcy Code, 2016 (31 of 2016) and the rules and regulations made thereunder.” For the intention of the rule, “Adjudicating authority” will need the same meaning as provided to it in clause (1) of section 5 of the Insolvency and Bankruptcy Code, 2016.
