Aishwarya Rai Bachchan has reportedly received relief from the Income Tax Department after the Income Tax Appellate Tribunal (ITAT) Mumbai ruled a 2022–23 dispute in her favour. The tribunal has removed the Rs 4 crore disallowance raised by the department for the assessment year 2022–2023.
Aishwarya Rai Bachchan wins IT dispute
On October 22, 2022, Aishwarya reported a total income of Rs 39 crore for the financial year 2022–23. She had Rs 449 crore worth of investments in tax-free income-generating assets as of March 31, 2021. After filing her ITR, she received a notice from the tax department as her case was selected for complete verification.
The actress responded to the tax notice, but after reviewing her reply, the Assessing Officer (AO) disallowed expenses related to exempt income under Section 14A, read with Rule 8D. Aishwarya claimed that she had already made a disallowance of Rs 49 lakh on her own, even though no expenses were incurred to earn the exempt income.
However, her assessed income was raised to Rs 43.44 crore after the AO disregarded her calculation and applied Rule 8D, resulting in a disallowance of Rs 4.60 crore.
Aishwarya’s representative argued that the AO failed to properly record his satisfaction and disregarded her explanation without due consideration. They also contended that the AO’s disallowance of Rs 4.6 crore was excessive since her total expenses were only Rs 2.48 crore.
The tribunal concluded that the AO had disallowed the investment without identifying which investments actually generated exempt income, merely rejecting her calculation.
The ITAT observed, “Accordingly, we are of the considered view that the disallowance made by the AO over and above the suo motu disallowance made by the assessee is without any basis and deserves to be deleted. In the result, the appeal of the revenue is dismissed.”
Aishwarya’s work front
The actress recently walked the ramp at the L’Oréal Paris Fashion Week, looking breathtaking in a striking indigo outfit adorned with diamond embellishments designed by Manish Malhotra. The designer described it as a modern reimagining of the Indian sherwani, blending structure with softness and strength with sensuality.
Aishwarya was accompanied by her daughter Aaradhya, with the mother-daughter duo seen greeting fans ahead of the show. Aishwarya was even seen consoling a fan who broke down upon seeing her.