Lawgist18Liability of directors of private company in liquidation
1[18. Liability of directors of private company in liquidation.--Notwithstanding anything contained in the Companies Act, 1956 (1 of 1956), when any private company is wound up after the commencement of this Act, and any tax assessed on the company under this Act for any period, whether before or in the course of or after its liquidation, cannot be recovered, then, every person who was a director of the private company at any time during the period for which the tax is due shall be jointly and severally liable for the payment of such tax unless he proves that the non-recovery cannot be attributed to any gross neglect, misfeasance or breach of duty on his part in relation to the affairs of company.]
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1. Ins. by s. 13, ibid. (w.e.f 1-4-1973).
- 1 Short title, extent and commencement
- 2 Definitions
- 3 When is a sale or purchase of goods said to take place in the course of inter-State trade or commerce
- 4 When is a sale or purchase of goods said to take place outside a State
- 5 When is a sale or purchase of goods said to take place in the course of import or export
- 6 Liability to tax on inter-State sales
- 6A Burden of proof, etc., in case of transfer of goods claimed otherwise than by way of sale
- 7 Registration of dealers
- 8 Rates of tax on sales in the course of inter-State trade or commerce
- 8A Determination of turnover
- 9 Levy and collection of tax and penalties
- 9A Collection of tax to be only by registered dealers
- 9B Rounding off of tax, etc
- 10 Penalties
- 10A Imposition of penalty in lieu of prosecution
- 11 Cognizance of offences
- 12 Indemnity
- 13 Power to make rules
- 14 [Omitted.]
- 15 [Omitted.]
- 16 Definitions
- 17 Company in liquidation
- 18 Liability of directors of private company in liquidation
- 18A Appeals to highest appellate authority of State
- 19 Central Sales Tax Appellate Authority
- 19A Vacancies, etc., not to invalidate proceedings
- 20 Appeals
- 21 Procedure on receipt of application
- 22 Poweres of the Authority
- 23 Procedure of Authority
- 24 Authority for Advance Ruilings to function as Authority under this Act
- 25 Transfer of pending proceedings
- 26 Applicability of order passed
