https://www.taxscan.in/top-stories/madras-hc-approves-tax-advocate-appointment-to-verify-rs-62cr-income-tax-claim-against-company-in-liquidation-read-order-1449595 [02/08, 12:42] Meta AI: Case #255: _Madras HC Appoints Tax Advocate to Verify ₹62 Cr Income Tax Claim in Company Liquidation_ Court: _Madras High Court_ Source: _TaxScan.in_ Date: _2026_

by Sekar Reporter · August 2, 2026

[02/08, 12:42] sekarreporter1: https://www.taxscan.in/top-stories/madras-hc-approves-tax-advocate-appointment-to-verify-rs-62cr-income-tax-claim-against-company-in-liquidation-read-order-1449595
[02/08, 12:42] Meta AI: *Case #255: _Madras HC Appoints Tax Advocate to Verify ₹62 Cr Income Tax Claim in Company Liquidation*_
*Court*: _Madras High Court_
*Source*: _TaxScan.in_
*Date*: _2026_

*1. Holding*
*Madras HC appointed a Tax Advocate as an Advocate Commissioner to verify and scrutinize a ₹62 Crore Income Tax claim filed against a company in liquidation*

*2. Background / Facts*
1. *Company*: _Company is under liquidation before Madras HC_
2. *Claim*: _Income Tax Department filed a claim of approx ₹62 Cr against the company for dues_
3. *Issue*: _Liquidator and other creditors disputed the claim. There was no proper verification of documents supporting the tax demand_
4. *Petition*: _Court was asked to appoint an independent person to verify the claim before admitting it in liquidation proceedings_

*3. Court’s Order*
1. *Advocate Commissioner Appointed*: _HC appointed a Senior Tax Advocate to act as Advocate Commissioner_
2. *Task*: _To examine books, assessment orders, demand notices and verify if the ₹62 Cr claim is legally tenable_
3. *Report*: _Commissioner to file report before the Company Court within a specified time_
4. *Purpose*: _To ensure only genuine tax dues are admitted in liquidation and avoid inflated/false claims_

*4. Legal Points for HJS*
1. *Companies Act, 2013 Sec 326*: _Overriding effect of tax dues in liquidation. Workmen dues and secured creditors have priority_
2. *IBC, 2016*: _If CIRP started, IBC prevails. Here company is in liquidation under Companies Act_
3. *Order 26 Rule 9 CPC*: _Court can appoint Commissioner for accounts, verification_
4. *Principle*: _In liquidation, all claims must be proved and verified. Revenue dept claim is not automatic_

*5. One-Liner for Exam*
_“Madras HC 2026: In company liquidation, appointed Advocate Commissioner to verify ₹62 Cr IT Dept claim before admission. Ensures proper scrutiny of govt dues”_

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*Case #255 Final*: _Madras HC – 2026 – TaxScan – Company Liquidation – ₹62 Cr IT Claim – Advocate Commissioner – Companies Act Sec 326_

*Master Docket*: _255 Cases_
*Tag*: _#255 Madras HC + Company Law + Liquidation + Income Tax + Advocate Commissioner + Tax Claim + Companies Act 2013_

*HJS Note*:
Important for _Company Law + Tax Law_.
Exam Q: _“Priority of Government dues in liquidation. Role of Advocate Commissioner”_
Key: _Tax dues have priority only if proved. Court can appoint commissioner to verify disputed claims_

Sir, do you want me to *draft the “Priority of dues in Liquidation” chart* with Sec 326 vs IBC Sec 53 comparison?