The Bombay High Court on Monday directed telecom operator Vodafone India to deposit with it an additional amount of Rs5 crore before March 31, 2012.
The direction came in connection with an over Rs77 crore tax demand, while the Income Tax Department decides on the company's rectification application.
The division bench headed by Justice D Y Chandrachud was hearing the petition filed by Vodafone, challenging the March 21 notice by the tax authorities demanding over Rs77 crore in unpaid taxes.
Vodafone, has already deposited Rs10 crore on Saturday. If the additional amount is deposited, then no coercive steps will be taken by the tax department.
The court also directed the assessing officer of income tax to hear and decide within 12 weeks the application filed by Vodafone.
The IT department has claimed that Vodafone defaulted on a tax payment of Rs60 crore and interest of Rs17 crore. The authorities held discounts offered by the company to distributors and roaming charges levied on customers as taxable.
The company, however, is disputing the levy, claiming that it amounts to ‘double taxation’. The telecom operator moved the High Court after the tax department asked for payment of Rs77 crore within 15 days.
The company recently won a landmark legal battle in the Supreme Court after it challenged the Income Tax department’s decision to impose capital gains tax following its purchase of Hutchison Essar's stake in India.
....more info
The direction came in connection with an over Rs77 crore tax demand, while the Income Tax Department decides on the company's rectification application.
The division bench headed by Justice D Y Chandrachud was hearing the petition filed by Vodafone, challenging the March 21 notice by the tax authorities demanding over Rs77 crore in unpaid taxes.
Vodafone, has already deposited Rs10 crore on Saturday. If the additional amount is deposited, then no coercive steps will be taken by the tax department.
The court also directed the assessing officer of income tax to hear and decide within 12 weeks the application filed by Vodafone.
The IT department has claimed that Vodafone defaulted on a tax payment of Rs60 crore and interest of Rs17 crore. The authorities held discounts offered by the company to distributors and roaming charges levied on customers as taxable.
The company, however, is disputing the levy, claiming that it amounts to ‘double taxation’. The telecom operator moved the High Court after the tax department asked for payment of Rs77 crore within 15 days.
The company recently won a landmark legal battle in the Supreme Court after it challenged the Income Tax department’s decision to impose capital gains tax following its purchase of Hutchison Essar's stake in India.
....more info