Chennai: The Income Tax Department has informed the Madras High Court that it may initiate the auction of former Tamil Nadu Chief Minister J. Jayalalithaa’s iconic Poes Garden residence, ‘Veda Nilayam’, if her legal heirs fail to settle outstanding tax dues amounting to ₹13.69 crore (income and wealth tax with interest up to January 31, 2026). The disclosure came in a counter-affidavit filed in response to a petition by Jayalalithaa’s niece and declared legal heir, J. Deepa, challenging the tax demand.
Tax Arrears Breakdown: Over ₹20 Crore with Interest
The department’s affidavit detailed that Jayalalithaa’s estate owes ₹9,00,17,962 in income tax and ₹11,08,08,730 in wealth tax, totaling over ₹20 crore with accrued interest. It noted that another legal heir, Deepak (Deepa’s brother), had earlier agreed to pay ₹6.75 crore in six instalments and had paid ₹1.12 crore so far. Properties, including some attached during Jayalalithaa’s lifetime, stand as security for the dues. The department warned that failure to pay would lead to “legal action to auction the attached properties,” putting the political symbol ‘Veda Nilayam’ at risk.
Political Heirs in Focus: Will They Step In to Protect the Legacy?
The development has sparked political commentary, with analysts questioning whether leaders who proclaim themselves as Jayalalithaa’s “true political heirs”—particularly AIADMK leadership—will intervene to prevent the auction of a site steeped in party symbolism. The case highlights the ongoing legal and financial complexities surrounding the late leader’s estate, even years after her passing.
The High Court, which had earlier stayed tax recovery proceedings, has scheduled the next hearing for February 18.