Congress to challenge ITAT order on tax demand in Delhi HC

Congress has decided to move the Delhi High Court early next week, challenging the Income Tax Appellate Tribunal (ITAT) order on Friday dismissing the party's plea for a stay on the Income Tax Department's lien on its bank accounts.

Congress was also seeking a stay on the department's demand of ₹210 crore against alleged tax liabilities and penalties for the year 2018-19. Congress had argued that the I-T department's action amounted to hurting its financial requirements during the upcoming Lok Sabha elections.

Dismissal of its plea and the subsequent rejection of party lawyer Vivek Tankha's request to keep the ITAT order in abeyance for 10 days to enable the party to file an appeal in the high court have disappointed Congress.


"I am disappointed but not surprised by the rejection of our plea. My plea has been to give us an interim stay against the deposit of 20% of the total liability and I had cited various cases to show it has been the normal practice. Yet, our plea has been rejected. Now we will move the Delhi High Court when it opens on Monday. We also hope no more funds will be taken away from the Congress accounts (by the tax department) before that," Tankha told ET.

Recently, Congress had alleged that on the I-T department's instructions, more than ₹60 crore had been withdrawn from party accounts against the lien. Congress has been alleging that the I-T department's move was part of the ruling establishment's vendetta politics against Opposition parties.

Congress has been raising funds through crowd-funding and has launched campaigns in this regard, ahead of Lok Sabha polls. The party has said that its funds collected through crowdfunding have also been freezed by the tax authorities.