2024 (9) TMI 1055 - HC - Income Tax

Calcutta HC: Simultaneous Tax Proceedings Must Avoid Double Taxation, Orders Resolution in Six Months.

The HC of Calcutta addressed the issue of Rs. 4.52 Crores in alleged undisclosed foreign income. It ruled that simultaneous proceedings under the Income ... Two simultaneous proceedings - Income Tax Act and Black Money Act - Money on account of alleged undisclosed foreign income and assets - whether proceeding should be initiated under the Income Tax Act or Black Money Act or under both? - petitioner submits that both the authorities cannot proceed simultaneously in respect of the same undisclosed money. HELD THAT:- Appellant has brought to the notice of this Court that against the very same money, by the leave of this Court by the order dated 24th September, 2021, petitioners have already approached the Income Tax Settlement Commission and the proceeding before the Income Tax Settlement Commission is pending due to stay granted by this Court which has been extended till 25th February, 2022, Settlement Commission is not proceeding in the case in question. It is clarified that the pendency of this writ petition will not be a bar for the Income Tax Settlement Commission to proceed in the matter in accordance with law and to pass a final order, preferably within six months from the date of communication of this order. Liberty to mention. The High Court of Calcutta heard arguments regarding Rs. 4.52 Crores of alleged undisclosed foreign income and assets. The petitioner argued against simultaneous proceedings under the Income Tax Act and Black Money Act. The respondents referred to an instruction clarifying that the same amount will not be added twice under both acts. The petitioner also mentioned approaching the Income Tax Settlement Commission, with proceedings pending due to a court-ordered stay. The court clarified that the writ petition will not hinder the Settlement Commission's proceedings, urging a final decision within six months.