The Bombay High Court on Wednesday continued till further orders an interim stay on show-cause notice and penalty demand issued to industrialist Anil Ambani by the Income Tax department under the Black Money Act (BMA).
A division bench of Justices Gautam Patel and Neela Gokhale adjourned hearing in Ambani’s petition till April 28 after the Income Tax department sought more time to file reply. The HC, in September 2022, had granted an interim stay to the show-cause notice pending hearing.
Interim stay to penalty demand notice
In March this year, Ambani's counsel Rafique Dada informed the court that the department later also issued a penalty demand notice to his client. The court then granted interim stay to the demand notice too.
During the hearing on Wednesday, I-T’s advocate Akhileshwar Sharma sought two weeks to file a "comprehensive affidavit" in response to the amended petition. “The petition has been amended adding some more IT officials as respondents and (the petitioner) has also annexed certain new documents. The department wants time to file a comprehensive affidavit,” Sharma said.
IT department issued notice to Anil Ambani for evading ₹420 crore tax
The court has directed that the affidavit be filed by April 21. “The petition shall be listed for hearing on April 28. The interim orders passed earlier -- stay on the show cause notice and the penalty demand -- shall continue till further orders,” noted the bench.
The I-T department issued a notice to Anil Ambani on August 8, 2022, for allegedly evading ₹420 crore in taxes on undisclosed funds of more than ₹814 crore held in two Swiss bank accounts.
