Updated: January 25, 2018 2:31:33 pm
While Bollywood’s global icon Priyanka Chopra is busy juggling between various projects in the West, including the third season of her TV series Quantico, back home, the Baywatch actor has been slapped with multiple tax demands by the Income Tax Appellate Tribunal as per reports.
The four-year spat started with Priyanka being ordered to pay taxes on a luxury watch and a luxury sedan which she claims were gifted to her by the respective companies and are not a part of her professional income. While the watch has been valued at Rs 40 lakhs, the car is priced at Rs 27 lakhs, reports Times Of India.
The noted value of both the items have been treated as taxable perquisites by ITAT under section 28(iv) of the Income-tax Act. The section treats as taxable, ‘the value of any benefit or perquisite (whether convertible into money or not), arising from business or exercise of profession.’
The reports also state that there are multiple other issues regarding Chopra’s assets by ITAT apart from these two in a series of orders which were passed on January 16 this year. The orders cover four years from the financial year 2006-07 onwards. Search and seizure operations carried out in January 2011 by the Income-tax (I-T) authorities on Chopra gave way to a plethora of disputes and these orders come in the wake of appeals by both the IT department and the actor.
Moreover, when Priyanka contended that the said watch was a “gift received from the company out of love, affection and respect towards her and cannot be a taxable receipt in her hands,” the I-T official disagreed and said, “A company, is an artificial person and therefore does not have any emotional feeling of love and affection which is the cardinal factors for treating any transaction as gift,” as reported by TOI.
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