LawChakra

Supreme Court Requests IT Department’s Response to NewsClick’s Plea Challenging Tax Demands

The Supreme Court Today (July 8th) sought the response of the Income Tax Department to a petition by NewsClick against two income tax notices.

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Supreme Court Requests IT Department's Response to NewsClick's Plea Challenging Tax Demands

NEW DELHI: On Monday, the Supreme Court sought the response of the Income Tax Department to a petition filed by NewsClick against two income tax notices.

The case was heard by a bench comprising Justices BV Nagarathna and Dipankar Datta, who also issued notice on the application filed by the news portal for interim relief.

This hearing represents NewsClick’s second round of litigation before the apex court regarding the income tax notices. In November last year, the Delhi High Court had rejected NewsClick’s plea for relief, prompting the news portal to approach the Supreme Court.

In February, NewsClick withdrew its petition from the Supreme Court to seek relief from the Income Tax Appellate Tribunal instead. However, the Tribunal refused to stay the tax demands on April 5, a decision that was subsequently upheld by the Delhi High Court on May 10. This sequence of events led to NewsClick filing the current appeal.

In the first round of litigation, the High Court had observed that NewsClick had significant questions to answer regarding its financial dealings, noting there was no prima facie case in favor of the news portal.

During the Supreme Court hearing, NewsClick’s counsel emphasized the portal’s difficulties in paying employee wages.

Senior Advocates Kapil Sibal and Devadatt Kamat, along with advocates Rohit Sharma, Nikhil Purohit, Jatin Lalwani, Rajesh Inamdar, and Anubhav Kumar, represented NewsClick.

Additional Solicitor General N Venkataraman appeared for the Income Tax Department.

CASE TITLE:
PPK Newsclick Studios Pvt Ltd v Deputy Commissioner of Income Tax

Click Here to Read Previous Reports on NewsClick Case

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