Vodafone moves Bombay HC against tax notice
Telecom giant Vodafone on Monday moved the Bombay High Court, challenging the Income-Tax (I-T) department’s jurisdiction on a deal inked by the company in 2007.business Updated: Jun 07, 2010 23:04 IST
Telecom giant Vodafone on Monday moved the Bombay High Court, challenging the Income-Tax (I-T) department’s jurisdiction on a deal inked by the company in 2007.
Vodafone, which acquired the Indian assets of Hong Kong- based Hutchison in 2007, was served a tax notice by the I-T department over its failure to pay Rs 12,000 crore as tax on the $11-billion transaction.
“Vodafone does not believe that the tax authority has jurisdiction to seek to tax the transaction with Hutchison... Consequently, Vodafone International Holdings BV has filed an appeal with the Bombay High Court against the order on jurisdiction issued by the tax authority on May 31, 2010,” Vodafone Group said in a statement.
“Vodafone remains fully confident that no tax is payable,” the statement added.
Vodafone had earlier approached the Supreme Court, which refused to intervene in the tax dispute. However, it granted Vodafone the right to appeal to the Bombay High Court if it disagreed with the Income Tax authorities.