Trisha's tax troubles continue as I-T dept challenges deletion of penalty order

Actress Trisha Krishnan's tax troubles continue as the Income Tax department in Chennai has chosen to challenge in the high court an order of the Commissioner of Income Tax Appeals which provided for the deletion of a penalty of Rs1.11 crore levied on her.

The Income Tax department's appeal was heard by the first bench of Chief Justice Indira Banerjee and Justice M Sundar. The case has been adjourned to 13 June.

It is said that actress did not disclose the amount received from some sources as income but as advances during the initial stages of assessment for the year 2010-2011. However, when the assessment started, she chose to file a revised return in which she declared the amount as income. The assessing officer chose to treat the sum as income and levied a penalty of Rs1.11 crore against the actress.

Trisha then challenged the assessment in the office of the Commissioner of Income Tax Appeals, who deleted the penalty. The Appellate Tribunal also reaffirmed this order.

However, the Income Tax department believes that the penalty imposed on the actress was a valid move and that it shouldn't have been deleted and has therefore approached the high court in this regard.