Ramanand Sagar who made the hit 1976 film Charas starring Dharmendra and Hema Malini, may not be alive but his film seems to be facing major trouble from the Income Tax Department. It seems that the filmmaker showcased lesser income that he received for the film whilst paying tax then and now that the IT Department discovered about the manipulation, his heirs have been asked to pay a penalty.
The Bombay High Court recently intervened in the matter wherein a bench headed by Justice SC Dharamadhikari and PD Naik confirmed that a penalty of a sum of Rs. 6 lakhs would be indeed be charged from the heirs of late Ramanand Sagar. The incident was a repercussion when a recent anomaly was found in the income tax returns filed by Ramanand Sagar’s company for the financial 1976-77.
Arguing on the matter, Sagar’s company’s lawyers maintained that the reason behind Sagar taking this step was because he was unsure about the success of the film. Also, they asserted that when he became aware of the situation then, he rectified the error immediately after receiving his first notice from the then assessing officer. However, the court continues to state that Sagar should have been candid and honest in the matter and shouldn’t have reported a wrong amount that he received from Prakash Pictures whilst filing the returns.
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