The Calcutta High Court has ruled that the provisions of the Insolvency and Bankruptcy Code (IBC) override the Income Tax Act. 

Here's a breakdown of the case:

*Case Details:*

- *Petitioner:* Srei Equipment Finance Limited

- *Assessment Years:* 2016-17 and 2019-20

- *Notice Issued:* Under Section 148A(b) of the Income Tax Act

*Key Points:*

- The court held that the proceedings initiated by the Income Tax Department, starting from the issuance of notice under Section 148A(b), are without jurisdiction and unsustainable in law.

- The National Company Law Tribunal (NCLT) had approved a resolution plan for the corporate debtor, which overrides the Income Tax Act's provisions.

- The court relied on Section 238 of the IBC, which states that the provisions of the Code shall have effect notwithstanding anything inconsistent contained in any other law.

- The Supreme Court has also previously held that once a resolution plan is approved, all claims not part of the plan shall stand extinguished, and no person can initiate or continue proceedings in respect of such claims .

*Important Observations:*

- *Moratorium Period:* The court noted that during the moratorium period, no proceedings can be initiated or continued against the corporate debtor.

- *Locus Standi:* The court rejected the department's objection regarding the petitioner's locus standi, holding that the corporate debtor has the right to file a writ petition.

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- *Overriding Effect:* The court emphasized that the IBC's provisions shall override the Income Tax Act's provisions in cases of inconsistency .

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