The Madras high court Tuesday ordered an interim stay on an Income Tax department order that imposed a fine on Tamil actor Vijay for his “admittedly undisclosed earnings of Rs 15 crore in financial year 2015-16”. The fine, Rs 1.5 crore, was imposed after searches were conducted at his premises in September 2015.
During the searches, the I-T order had said Vijay had acknowledged receiving Rs 5 crore in cash and Rs 16 crore in cheque payments for his work in the Tamil film ‘Puli’. He reportedly admitted receiving an additional Rs 10 crore in cash during the same financial year, although it was not disclosed in his I-T return submitted to the department. The I-T department said Vijay reportedly agreed to pay the tax amount for Rs 15 crore of undisclosed income.
Subsequently, the department passed an order imposing “a fine — a 10% penalty on the undisclosed income based on his admission-citing that the crime was only discovered through searches, not through a voluntary submission”.
Justice Anita Sumanth accepted the actor’s appeal of the order from June 30. The court asked the department to submit a response by September 16.