CBDT seeks revival of struck-off companies with pending tax liabilities

To appeal to RoCs for revival of firms with retrospective effect

by Nidhi Bhati

The central board of direct taxes (CBDT) is planning to seek restoration of a section of companies which were struck off from register of companies (RoCs) by the government in September 2017. These include companies which were under income-tax proceedings or the tax department was contemplating to initiate income-tax proceedings. The department can also initiate revival for companies against which there were pending appeals or pending penalty proceedings or where prosecution proceedings had been initiated. The CBDT has directed officials to file appeals before the National Company Law Tribunal (NCLT) for revival of de-registered companies immediately on a case-to-case basis. The board has also laid down ground rules for assessing officers to appeal to RoCs for revival of firms with retrospective effect.

References
1. https://economictimes.indiatimes.com/news/economy/policy/i-t-dept-to-seek-restoration-of-some-struck-off-companies/articleshow/62342802.cms
CMIE STATISTICS
Unemployment Rate
Per cent
6.3 +0.1
Consumer Sentiments Index
Base September-December 2015
93.5 +0.8
Consumer Expectations Index
Base September-December 2015
93.9 +0.6
Current Economic Conditions Index
Base September-December 2015
92.8 +1.0
Quarterly CapeEx Aggregates
(Rs.trillion) Jun 17 Sep 17 Dec 17 Mar 18
New projects 2.32 1.37 1.18 2.15
Completed projects 0.87 1.21 1.02 1.06
Stalled projects 2.67 0.69 0.93 3.34
Revived projects 0.30 0.34 0.23 0.14
Implementation stalled projects 0.73 0.72 0.58 1.05
Updated on: 23 Apr 2018 12:20PM
Quarterly Financials of Listed Companies
(% change) Jun 17 Sep 17 Dec 17 Mar 18
All listed Companies
 Income 9.6 7.9 11.9 12.3
 Expenses 9.9 9.0 12.9 11.5
 Net profit -19.9 -18.1 -13.9 14.1
 PAT margin (%) 5.3 5.5 4.9 19.5
 Count of Cos. 4,481 4,468 4,430 48
Non-financial Companies
 Income 10.2 8.2 13.2 8.5
 Expenses 10.5 8.2 12.3 7.7
 Net profit -25.1 -6.0 12.7 9.7
 PAT margin (%) 5.2 6.2 6.4 19.8
 Net fixed assets 9.2 0.7
 Current assets 78.7 7.3
 Current liabilities 11.0 21.6
 Borrowings 10.4 -5.3
 Reserves & surplus 5.2 -2.1
 Count of Cos. 3,458 3,441 3,426 34
Numbers are net of P&E
Updated on: 23 Apr 2018 12:20PM
Annual Financials of All Companies
(% change) FY15 FY16 FY17 FY18
All Companies
 Income 5.5 1.5 5.1 1.6
 Expenses 5.6 1.7 5.1 0.7
 Net profit 0.0 -10.3 23.7 9.2
 PAT margin (%) 3.1 2.8 3.6 8.3
 Assets 9.5 10.0 6.9 3.3
 Net worth 8.5 11.4 6.0 2.8
 RONW (%) 5.8 4.9 5.9 12.7
 Count of Cos. 25,647 23,668 20,755 19
Non-financial Companies
 Income 4.7 0.6 4.7 1.5
 Expenses 4.9 0.0 5.2 0.6
 Net profit -8.6 18.4 18.0 10.7
 PAT margin (%) 2.0 2.5 3.1 7.4
 Net fixed assets 13.3 17.3 5.4 4.4
 Net worth 6.9 12.0 4.4 2.9
 RONW (%) 4.6 5.1 6.0 11.5
 Debt / Equity (times) 1.1 1.1 1.0 0.2
 Interest cover (times) 1.9 1.9 2.1 11.8
 Net working capital cycle (days) 66 65 62 38
 Count of Cos. 20,897 19,807 17,287 17
Numbers are net of P&E
Updated on: 18 Apr 2018 11:50AM

Time series available from 1990 onwards