Vodafone wins arbitration against India over Rs 20,000 cr retrospective tax dispute
Vodafone has won the arbitration case against Government of India over Rs 20,000 crore retrospective tax dispute. According to reports, the Hague Court ruled that the conduct of the Indian tax department is in breach of fair and equitable treatment.
The tribunal ruled that the Indian government's imposition of a tax liability on Vodafone is in breach of the investment treaty agreement between India and the Netherlands, Reuters reported while quoting a source.
Spurred by the news, on Friday Vodafone Idea's scrip on BSE closed 12% higher at ₹10.20.
In 2007, Indian I-T department slapped a demand notice seeking capital gains tax.
A tax demand of ₹11,000 crore was raised by the then government related to Vodafone’s $11 billion acquisition of Hutchison Telecom stake in 2009.
