AR Rahman Gets Notice From The Madras High Court For Dodging  Income Tax

Madras Income Tax Department has approached Madras High Court after proceedings, initiated against music composer and singer, AR Rahman. The High Court has reportedly issued a notice to the singer for evading the tax of Rs. 3.47 crores.

In the appeal, the IT department apparently stated that the Oscar-winning music composer, AR Rahman had dodged tax in an individual capacity by allegedly transferring his remuneration of Rs 3.47 crore to his charitable trust. The IT officials have found discrepancies in Rahman’s tax filing for the year 2011-12. And thus they have now filed an appeal in the HC, thereby taking the case to court.

The ‘Jai Ho’ singer is said to have routed the remuneration of Rs 3.47 crore towards AR Rahman Foundation. The huge amount was from his salary, which he was receiving after composing exclusive ringtones for the UK-based telecom company, Libra mobiles. The team of the Income Tax department now stated that the income for work had to be received in Rahman’s individual account and it is taxable. After the deduction of income tax, it can be moved to the charitable trust.

According to TR Senthil Kumar, senior counsel of the IT department, the income, which is taxable, can be transferred to the trust only after due tax deduction and it cannot be transferred directly to the trust as income to a charitable trust is exempted under the Income Tax Act. However, the singer-music composer is yet to comment about the notice.

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Also Read: A R Rahman: There’s A Whole Gang Working Against Me