Q.Whose power is ceased after the appointment of liquidator?

The appointment of a liquidator must be intimated to the Income Tax Officer within 30 days — the correct option is (B).

When a company goes into liquidation, the liquidator is required to inform the Income Tax authorities of his appointment so that tax dues can be assessed and claimed in the winding-up. The notice of appointment must be given to the Income Tax Officer withi …

On appointment of the liquidator, the powers of the directors/Board come to an end.

When a company goes into liquidation, a liquidator is appointed to take custody of the company's assets, realise them, pay off the creditors in the legal order and distribute any surplus. From the moment the liquidator is appointed, the directors lose their managerial powers — the board's authority ceases, and the conduct of the company's affairs passes to the liquidator. The directors must hand over the …

A liquidator must inform the Income Tax Officer of his appointment within 30 days.

When a company goes into liquidation, the liquidator takes charge of its assets and affairs. To safeguard the revenue's claims, the law (Section 178 of the Income Tax Act) requires the liquidator to give notice of his appointment to the Assessing/Income Tax Officer within 30 days of becoming liquidator. The officer then inti …