Setback for actor Vijay: Madras HC bins TVK chief's plea challenging Rs 1.5 crore penalty imposed by I-T department

CHENNAI: Madras high court on Friday dismissed a plea moved by actor and founder of political party Tamilaga Vetri Kazhagam (TVK) Vijay, challenging a Rs 1.5 crore penalty imposed by the income tax department for allegedly not disclosing his true income during the assessment period 2015-16.Justice Senthilkumar Ramamoorty passed the order while rejecting the plea moved by Vijay challenging the demand notice issued by the income tax department. According to Vijay, he declared an income of Rs 35.42 crore for the financial year 2016-17. However, based on documents seized by the department during a raid conducted at his residence in 2015, the department claimed that he did not disclose Rs 15 crore income earned from the movie ‘Puli’.Based on the findings, the department imposed a penalty of Rs 1.5 crore through an order dated June 30, 2022. Challenging the order, Vijay moved the present plea. Admitting the plea, a single judge on Aug 16, 2022, granted an interim stay against the operation of the order passed by the department.Vijay contended that the penalty should have been issued before June 30, 2019. Since the order was passed belatedly, it should be set aside. Opposing the submissions, the department submitted that the penalty imposed on Vijay was valid under the Income Tax Act and, therefore, his petition should be dismissed.Concurring with the submissions of the department, the court dismissed the plea moved by Vijay.