India, Feb. 6 -- The Madras High Court on Friday dismissed a writ petition filed by actor and Tamilaga Vettri Kazhagam (TVK) president C. Joseph Vijay challenging the Income Tax (IT) department's imposition of a Rs.1.5 crore penalty for allegedly not voluntarily disclosing additional income of Rs.15 crore during the 2015-16 financial year.

Justice Senthilkumar Ramamoorthy said the IT department had issued the show cause notice "within the two-year limitation period prescribed under Section 263 of the Income Tax Act," adding that he did not find any legal infirmity in the issuance of the notice and declined to examine the merits of the penalty proceedings.

Section 263 of the Income Tax Act, 1961, empowers the principal commissioner or co...