NEW DELHI (Reuters) – India’s Income Tax division is not going to pursue a 35-billion rupee ($420 million) fee from the primary opposition Congress social gathering till after the completion of normal elections in June, the division informed the nation’s prime courtroom on Monday.

The tax division’s determination is seen as a breather for the Congress, which has been served a number of earnings tax notices over the previous month and authorities have recovered 1.35 billion rupees in penalties from its financial institution accounts weeks earlier than voting begins on April 19.

The social gathering has referred to as the motion in opposition to it as politically motivated and an try and financially cripple it because it has harm its election marketing campaign bills.

Prime Minister Narendra Modi’s Bharatiya Janata Party has denied the allegations saying the tax division is just following guidelines that govern tax regulation violations.

Tushar Mehta, India’s solicitor-general, informed the Supreme Court that the Income Tax division is not going to provoke any “coercive action” till after the elections. The seven-phase elections are set to be held from April 19 to June 1 and votes counted on June 4.

The courtroom set July 24 for the subsequent listening to on the tax matter.

($1 = 83.3810 Indian rupees)

(Reporting by Shivam Patel in New Delhi; Editing by YP Rajesh and Michael Perry)

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