Past GST dues extinguished in IBC matter

A Landmark Moment for India’s Insolvency & GST Ecosystem A powerful reaffirmation of the “clean slate” doctrine has arrived from the Calcutta High Court — and it could fundamentally shift how restructured companies are treated in the post-IBC landscape. In Rabirun Vinimay Pvt. Ltd., the Court has sent an unambiguous message that when a corporate debtor is sold as a going concern, the past must remain in the past, including all pre-sale GST dues. This is more than just judicial clarity. It is a much-needed assurance to every buyer who steps into a liquidation auction expecting certainty, finality, and freedom from legacy baggage. And it is a timely reiteration of what the Supreme Court cemented in Ghanashyam Mishra. At J the App by JustIDT, we take a look into this judgment. And our ask is simple, yet critical Will the Revenue now recognise that restructured companies are better used building businesses rather than fighting battles that the IBC has already put to rest.