[BREAKING] Supreme Court issues Notice to Income Tax Dept in Tamil Actor-Director SJ Suryah’s Plea against Prosecution for non-filing of ITR

The Supreme Court has issued notice to the Income Tax Department, in Actor-Director S J Suryah’s plea against prosecution for non-filing of Income Tax Returns and non-payment of advance tax.

The bench directed to Issue notice on the application for condonation of delay in filing special leave petitions as well as on the special leave petitions and prayer for interim relief, returnable in four weeks.

In addition to the usual mode, liberty was granted to the petitioner(s) to serve notice through the Standing Counsel/Counsel for the respondent(s)/Central Agency.

The petitioner/accused, who is a film actor and director earning income through acting and directing movies, was required to submit his income tax return for the assessment year 2002-2003 by July 31, 2002.

A criminal complaint has been lodged against the actor under Section 276 CC of the Income Tax Act, 1961, for not filing his income tax return within the statutory deadline, thereby violating the provisions of Section 139 (1) of the Income Tax Act, 1961. The charges also include non-payment of advance tax for various years.

Before the Madras High Court, the petitioner contended that the complaint is premature, when the proceedings before the department are yet to conclude and reach finality. It was also contended that the assessment order passed by the Assessing Officer, confirmed by the CIT (A) have been set aside by the Income Tax Appellate Tribunal declaring the Assessment orders as null and void.

Upholding the criminal charges, Justice G.Chandrasekharan clarified that pendency of reassessment proceedings are remanding matter for adequate opportunity and that adjudication by Tribunal through adjudication proceedings are not a bar for launching a criminal prosecution.

Read More: Actor S J Surya shall face Criminal Trial for Non-filing of Income Tax Returns despite Assessments Quashed by ITAT: Madras HC

In a major set back to tollywood actor Mr. S J Surya, the Madras High Court had upheld the criminal charges for non-filing of income tax returns and non-payment of advance tax by observing that the order of Income Tax Appellate Tribunal (ITAT) quashing re-assessment orders on ground of barred by limitation.

The Supreme Court Bench of Justice B.R. Gavai and Justice Sandeep Mehta added that, “Until further orders, by way of an ad interim order, the interim orders dated 07.12.2015 passed by the High Court shall continue to operate.”

As the legal battle intensifies, Mr. S J Suryah awaits the Supreme Court’s decision on his plea. The proceedings will shed light on the interplay between income tax proceedings and criminal prosecution, setting a potential precedent for cases involving similar allegations.

The actor’s legal team remains optimistic about the outcome, emphasizing the need for a fair trial and arguing against the imposition of criminal charges before the conclusion of departmental proceedings.

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