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Madras High Court Raps Actor Vijay, Upholds ₹1.5 Crore Income Tax Penalty

Chennai: In a significant ruling, the Madras High Court has upheld a ₹1.5 crore penalty imposed by the Income Tax Department on popular actor and Tamilaga Vettri Kazhagam president Vijay, delivering a setback as he gears up for an active political role. The court dismissed Vijay’s plea seeking relief from the fine, which was levied for failure to disclose additional income of ₹15 crore during the 2015–16 financial year.

The undisclosed income was linked to Vijay’s remuneration for the 2015 blockbuster film Puli. Following searches at his residence and office, the Income Tax Department recovered documents pointing to unaccounted earnings. Rejecting Vijay’s argument that the penalty was time-barred and illegal, the court ruled that the income was revealed only after the raids and that the department had followed due process. The penalty, imposed under Section 271AAB of the Income Tax Act, was therefore found to be valid.

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