Communist Party of India (CPI) Clarifies Its Stand on Income Tax Notice

CPI and Congress receive IT notices; Congress to protest nationwide against alleged political targeting.

The Aryavarth Express
Agency (New delhi): The Communist Party of India (CPI) has recently received a notice from the Income Tax Department, according to CPI General Secretary D Raja. The notice pertains to some discrepancies arising from the use of old PAN cards by certain state units of the party. Raja clarified to ANI that the CPI did not receive any notice regarding a specific amount of money.

This development comes on the heels of the Income Tax Department issuing a demand notice of approximately Rs 1700 crore to the Congress party, as per sources. The fresh demand notice covers assessment years 2017-18 to 2020-21 and includes penalties and interest. The Delhi High Court recently dismissed Congress’s plea challenging the Income Tax Department’s order to reopen reassessment proceedings against it for the aforementioned years.

In response to the notices, Congress has announced plans to stage nationwide protests on Saturday against what it perceives as politically motivated actions by the Income Tax Department. Congress general secretary KC Venugopal has instructed all state units to organize demonstrations at PCC and district Congress Committee headquarters. In a letter addressed to party workers, Venugopal stated, “Eight years of Income Tax returns of the INC have been reopened on baseless, manufactured grounds to levy patently illegal Income Tax demand orders totalling thousands of crores of rupees. This is nothing but a blatant and naked attack on the very principals of democracy.”

Venugopal further called for “massive public demonstrations” at state and district headquarters, involving senior leaders and party functionaries. He also urged for protest demonstrations, including “Mashal Juloos,” to be conducted in all districts by the District Congress Committees.

Congress has accused the Income Tax Department of double standards, alleging that while it has been penalized for “a violation of Rs 14 lakh,” the authorities have remained silent on “Rs 42 crore violation” by the BJP, which would entail a penalty of Rs 4,600 crore. During a press conference, Congress leaders Jairam Ramesh and Ajay Maken claimed that there is an attempt to financially stifle the party during the Lok Sabha polls. Maken emphasized the need for the Election Commission to ensure a level playing field.

Maken further stated that Congress has received notices since the time of Sitaram Kesari in 1993-94 and has been demanded to pay a total of Rs 1,823 crores by the IT department. He also claimed that using the same parameters used to analyze Congress’s violations, the BJP should face a penalty of Rs 4,600 crore, and the Income Tax Department should raise a demand for payment from the ruling party.

The Congress party has recently approached the Income Tax Appellate Tribunal (ITAT) against the recovery and has filed a complaint seeking a stay against the Income Tax Department’s proceedings of recovery and “freezing” of their bank accounts. The Delhi High Court upheld the ITAT order refusing to stay the Income Tax notice for recovery of more than Rs 105 crore as outstanding tax against Congress, while granting the party the liberty to approach the appellate tribunal afresh with their grievance.

As political tensions rise in the lead-up to the Lok Sabha elections, the notices from the Income Tax Department to both the CPI and Congress have sparked heated debates and allegations of political targeting. The upcoming nationwide protests by Congress are likely to further intensify the political atmosphere, as parties grapple with financial scrutiny and the battle for public perception.

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