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Judiciary

I-T authorities not to take coercive action against Congress on Tax demand, SC told

By Jhanak Singh      01 April, 2024 03:24 PM      0 Comments
IT authorities not to take coercive action against Congress on Tax demand SC told

NEW DELHI: The Income Tax authorities on Monday told the Supreme Court that they would not take any coercive action against the Indian National Congress party till July with regard to demand of Rs 3,500 Cr, due to forthcoming general elections.

Appearing for the I-T authorities, Solicitor General Tushar Mehta submitted before a bench of Justices B V Nagarathna and Augustine George Masih that since the general elections are going on, the department will not take recovery proceedings or any coercive action.

The bench took the statement of Mehta on record and scheduled the matter for hearing in July.

For the Indian National Congress, senior advocate A M Singhvi said he was speechless with the statement.  

He, however, contended the petitioner was only a political party not a profit making organisation. He said a sum of Rs 135 Cr has already been attached.

Mehta said there was a demand of Rs 3,500 Cr.

The court, however, recorded, "Issues arising in these appeals are yet to be adjudicated upon. But having regard to the prevailing situation, the department does not wish to precipitate matter inasmuch as no coercive steps shall be taken by the department over the demand of Rs 3500 Cr approximately till the next date of hearing".

On March 28, the Delhi High Court rejected petitions by the Congress challenging the initiation of tax reassessment proceedings against it for a period of four years by the authorities.

Earlier, the HC also dismissed the Congress party's plea that had challenged initiation of reassessment proceedings pertaining to assessment years 2014-15 to 2016-17.



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