SC relief for Kamal Haasan in an income-tax case

The Supreme Court,on July 5,gave relief to veteran actor and director Kamal Haasan in an income-tax case by rejecting...

The Supreme Court,on July 5,gave relief to veteran actor and director Kamal Haasan in an income-tax case by rejecting the petition filed by the government regarding transfer of overseas telecast rights of his film Kuruthi Punal.

A three-judge bench headed by Chief Justice S H Kapadia dismissed the petition filed by the Income-Tax department in 2007 against Kamal Haasan. Earlier,the Supreme Court had issued a notice to the actor on November 2007.

He had claimed Income-Tax deductions in a matter related to transfer of overseas telecast rights of Kuruthi Punal. The Income-Tax department had appealed to the Supreme court after the Appellate Tribunal and the Madras High Court gave orders in favour of Kamal Haasan.

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The Tribunal and the High Court had observed that transfer of telecast rights could be described as an article or thing within the meaning of goods and merchandise. The Tribunal also held that Betacam tape,which had incorporeal rights would fall under goods for the purposes of claiming deductions under Section 80 HHC of the Income- Tax Act.

While challenging the High Court judgement that allowed deductions of Rs 54.50 lakh to Haasan,the department said the actor was not entitled to deductions as there was only transfer of rights of telecast and no export of goods or merchandise had taken place.