Unicaus NEWS
Appearing earlier than Justice C. Saravanan who’s seized of a 2022 writ petition filed by the actor in opposition to the penalty, I-T division senior standing counsel A.P. Srinivas stated, the nice had been rightly imposed beneath Section 271AAB(1) of the I-T Act and subsequently, the writ petition should be dismissed.
However, when the petitioner’s counsel contended the penalty proceedings had been hit by limitation interval since they must have been initiated on or earlier than June 30, 2019 and never on June 30, 2022; the decide requested him to supply by October 10, 2025 a verdict that he had delivered in an analogous case associated to limitation.
Earlier, explaining the background of the writ petition, Mr. Srinivas advised the court docket the I-T sleuths had carried out a search and seizure operation on the premises belonging to Mr. Vijay on September 30, 2015 and seized incriminating supplies.
The supplies indicated that P.T. Selvakumar and Shibu of SKT Studios, producers of the actor’s 2015 film Puli, had paid him ₹4.93 crore in money aside from the remuneration of ₹16 crore by means of cheques. They had deposited the Tax Deducted at Source (TDS) just for the cheque quantity and never the money transaction.
When the actor was confronted with the information, he reportedly admitted to have obtained ₹5 crore in money and agreed to pay the taxes for it. When requested how a lot of unaccounted earnings had the actor earned within the final six years, he replied he hadn’t obtained any unaccounted money however for the ₹5 crore for Puli.
Nevertheless, to be able to cooperate with the I-T division and to resolve the tax points in an amicable method, the actor agreed to reveal an extra earnings of ₹15 crore (together with the money transaction of ₹5 crore) for the monetary 12 months 2015-16 and pay the mandatory taxes for it.
Subsequently, on July 29, 2016, he filed his return of earnings for the evaluation 12 months 2016-17 declaring his whole earnings to be ₹35.42 crore together with the extra ₹15 crore. While submitting the returns, he claimed depreciation of belongings value ₹17.81 lakh and sought exemption for his followers’ membership bills of ₹64.71 lakh.
However, the division disallowed his claims and handed an evaluation order on December 30, 2017 figuring out the taxable earnings to be ₹38.25 crore. The evaluation order additionally acknowledged the actor wouldn’t have disclosed the extra earnings however for the search and seizure operation.
Therefore, the division imposed penalty beneath Sections Sections 271(1)(c) and 271AAB(1) of the I-T Act. Though, he selected to go on statutory attraction in opposition to the evaluation order in addition to the penalty imposed beneath Section 271(1)(c), the penalty beneath Section 271AAB(1) alone had been challenged by the use of a writ petition.
While admitting the writ petition on August 16, 2022, Justice Anita Sumanth had restrained the I-T division from recovering the penalty quantity for a restricted interval. Thereafter, the interim order was prolonged periodically till Justice Abdul Quddhose on February 21, 2023 stated, the interim order shall proceed until additional orders.
The writ petition was listed for listening to final in December 2023 and reappeared within the trigger listing once more on Tuesday since Justice Saravanan had begun remaining listening to on the earnings tax instances pending for lengthy.
Published – September 23, 2025 05:32 pm IST
