Bollywood’s Desi girl Priyanka Chopra who has now become an international star is on the target of Indian Income Tax Department.
A notice has been sent to her regarding the irregularities which were found during the Income Tax raid conducted in 2011. As per the I-T department, Priyanka Chopra has to pay taxes on the items which are of luxurious nature and have been received by her as gifts.
In 2011, a case regarding disproportionate assets was going on in the Income Tax Appellate Tribunal against Priyanka Chopra and a raid was conducted by the department in this regard. In this raid, the I-T officers found a costly watch and a luxury car on which the actress has not paid taxes.
When Priyanka was questioned about the LVMH-Tag watch of Rs 40 lakh value and Toyota Prius car of Rs 27 lakh value, she said that they are gifts from the company out of love, affection and respect towards her. But her answer was rejected as the I-T officer said,
“A company is an artificial person and therefore does not have any emotional feeling of love and affection which are the cardinal factors for treating any transaction as gift.”
Both the items come under section 28(iv) of the Income-Tax (I-T) Act as per which taxable is, “the value of any benefit or perquisite (whether convertible into money or not), arising from business or exercise of the profession.”
There are some other issues as well on which the Income Tax department needs clarification from Priyanka’s side. Let’s just wait and see how she reacts.
