BREAKING: Congress moves Delhi HC seeking stay on Income Tax notice for recovery of more than Rs 105 crore
On Friday, an Income Tax Appellate Tribunal (ITAT) order had dismissed the stay plea against the Income Tax Department proceedings of recovery and freezing of their Bank accounts.
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FollowIndian National Congress moves Delhi High Court seeking stay on Income Tax notice for recovery of more than Rs 105 Crore as outstanding tax. On Friday Income Tax Appellate Tribunal (ITAT) order dismissed the stay plea against the Income Tax Department proceedings of recovery and freezing of their Bank accounts. The matter was mentioned by Senior Advocate Vivek Tankha. The court allowed the matter to be heard today itself.
The Income Tax Appellate Tribunal (ITAT) had rejected the Congress's plea to halt the Income-Tax department's actions against its bank accounts in light of the upcoming Lok Sabha elections in 2024. These actions were initiated as penalties for past income tax returns.
Tankha, representing Congress, requested a ten-day stay on the order to allow the Indian National Congress (INC) to approach the High Court. However, the bench dismissed the plea, citing the absence of such provisions or prayers.
In response to the ITAT ruling, senior Congress leader Ajay Maken announced that the party is exploring legal avenues and intends to challenge the decision in the high court.
Previously, in February, Congress had accused the Income-Tax department of freezing its bank accounts, denouncing the move as an attack on democracy. They further alleged that the department sought a recovery of Rs 210 crore from the Youth Congress and Congress.
During a press briefing, Ajay Maken revealed, "We learned yesterday that banks are refusing to honour our checks. Upon investigation, we discovered that the bank accounts of the Youth Congress had been frozen. The accounts of the Congress party have also been seized."
He continued, "The Income Tax department demanded a recovery of Rs 210 crore from the Youth Congress and Congress party. The funds raised through crowdfunding in our accounts have been frozen. Just two weeks before the elections, when the opposition's accounts are frozen, it is akin to freezing democracy."
Accusing the BJP-led Union Government of politicizing the tax demands, Congress asserted that the ruling party is exploiting central agencies for political gains. They claimed that BJP's actions aim to disrupt Congress's election preparations for the 2024 Lok Sabha polls.
Labelling the government's actions as "financial terrorism", Congress condemned the move as an attempt to "cripple" India's primary opposition party ahead of the general elections.
