The two judge bench also rejected Rahul Gandhi`s counsel plea seeking restraint on publishing news by various media organisations on the case. The bench has listed the matter for further hearing on August 14.
Rahul Gandhi had challenged Income Tax's order to reopen his tax assessment related to the National Herald and Young India transactions.
Income Tax department informed Court that the AICC gave Rs 99 crores to Associate Journal Ltd.
Rahul willingly chose not to disclose that he held the director's post at the Young India, the court has said that it will determine whether he was under an obligation to disclose these details or not.
Though, Rahul's lawyer asserted that he did not receive any income from the source, hence he is not liable for any tax.
Rahul Gandhi and his mother Sonia Gandhi are major stakeholders in Young India which has acquired Associated Journals Limited (AJL). National Herald newspaper was published by AJL.
Bharatiya Janata Party leader Subramanian Swamy filed a complaint about "cheating" in the acquisition of AJL, which published the National Herald newspaper, by Young Indian, "a firm in which Sonia and Rahul Gandhi own a 38 per cent stake each ".