The Delhi High Court on Friday rejected the Indian National Congress's petitions challenging the commencement of income tax reassessment proceedings by the tax authorities for the years 2014-15, 2015-16, and 2016-17.

The order was delivered by a division bench consisting of Justice Yashwant Varma and Justice Purushaindra Kumar Kaurav. 

Singhvi, representing the Indian National Congress, argued that the tax authorities' action is "barred by limitation" since they can only assess up to six assessment years. In response to the court's inquiry regarding the alleged escaped income by the Congress, Hossain stated that, according to the seized material, the amount is approximately Rs. 520 crores.

Interestingly, the Indian National Congress has also filed new petitions contesting the commencement of tax reassessment proceedings for four additional years. These petitions are currently pending listing before the High Court. Notably, the court recently upheld a decision by the Income Tax Appellate Tribunal (ITAT) on March 08, denying a stay on a demand notice issued to the political party for the recovery of outstanding tax exceeding Rs. 100 crores for the assessment year 2018–19.

Nevertheless, the court provided the Indian National Congress with the opportunity to submit a new application for a stay before the Income Tax Appellate Tribunal (ITAT), considering the developments that have transpired in the interim period. This includes the recovery of an amount totaling Rs. 65.94 crores by the tax authorities through the encashment of bank drafts.

The bench also emphasized that if the Indian National Congress were to submit such an application, it should be promptly considered by the ITAT.