The Madras High Court on February 6 dismissed actor-politician Vijay’s plea against a Rs 1.5 crore penalty levied on him by the Income Tax (I-T) Department over alleged undisclosed income of Rs 15 crore.
The I-T Department had levied these penalties after raids on Vijay’s home in 2015.
Vijay’s counsel argued that penalty proceedings should have happened on or before the limitation period of June 30, 2022. The I-T department had begun proceedings only on June 30, 2022, the counsel further argued.
The I-T department contested this claim, saying the timeline was assessed according to the nature of the assessment proceedings. under Section 271AAB(1) of the I-T Act (penalties for undisclosed income unearthed during a search).
The single bench of Justice Senthilkumar Ramamoorthy, however, dismissed this. According to The Hindu, the court has allowed Vijay to challenge the order before an appellate body on grounds other than the limitation period.
The case pertains to the I-T department's allegations of undisclosed income from Vijay's 2015 film Puli.