By IANS,
New Delhi : The Delhi High Court Friday allowed the Income Tax department to proceed with the reassessment of Uttar Pradesh Chief Minister Mayawati’s income for 2001-02.
A bench headed by Justice Vikramajit Sen dismissed Bahujan Samaj Party (BSP) supremo Mayawati’s plea seeking to restrain the department from re-assessing her income claiming that a prior mandatory notice was not served on her. The court said that she has failed to prove her case.
The chief minister had moved the court challenging the IT department’s decision to re-assess her income for 2001-02.
Mayawati, in her petition, claimed that she did not receive any notice from the IT department, which is mandatory under the Income Tax law for reassessing income.
“The department initiated proceedings against me without serving me the notice which is mandatory in law,” she had claimed seeking a direction to set aside the department’s proceedings.
The IT department had refuted her contentions.
The Uttar Pradesh chief minister contended that the income under question in 2001 – immovable properties worth Rs.6.27 million and Rs.2.30 million as well as cash payments of Rs.200,000 – were gifts to her by her supporters.
The government has also approached the high court challenging the Income Tax Appellate Tribunal’s decision, which has given Mayawati a clean chit in a disproportionate assets case in 2003-04.
The government has said she had tried to evade tax by showing sham transactions in the assessment year 2003-04, and prayed for setting aside the tribunal’s order.
While arguing, counsel for the government mentioned that the tribunal’s conclusion was wrong. “The fact that gifts were given out of natural love of donors was unquestioned,” the government said.