Vodafone tax case
This query is : Resolved
20 February 2014
i had some confusion...u read that talks of vodafone with government had collapsed in respect of reconciliation regarding tax dues...bt what i failed to understand is that vodafone had already won the case in supreme court...and even though gov had.made.retrospective amendments ...vodafones case cnt b reopened in any section of income tax act as already decided by a higher authority...so how this issue of 20000 cr. again arose when vodafone had already won the case in SC
20 February 2014
INDIAN CABINET HAS THE POWER OF NEGOTIATION ON ANY DISPUTED MATTER BY INTRODUCTION OF RETROSPECTIVE AMENDMENT. SO THE MATTER IS LIKE THIS
India's cabinet Tuesday approved a proposal to negotiate a settlement to a tax dispute between Vodafone Group VOD.LN -0.29% PLC and local authorities, according to a cabinet minister.
The cabinet accepted Vodafone's offer to settle the tax dispute through a legal process called conciliation, in which a judge or a group of judges moderates settlement discussions between parties.
The offer came with a condition, however. The settlement discussion will be held in India and not before the UN Commission on International Trade Law, as offered by Vodafone, Finance Minister P. Chidambaram told reporters.
The government has slapped a tax charge of about $2 billion on Vodafone related to its $11.2 billion majority stake purchase in the Indian operations of Hutchison Whampoa Ltd. 0013.HK -0.88% in 2007.
It claims Vodafone was liable to deduct tax before paying Hutchison. Vodafone, however, contends that tax wasn't due as the deal was between two foreign entities, which didn't come under Indian laws.
Vodafone's stand was backed by India's Supreme Court in January 2012. The government, however, made a retrospective change to its tax laws in March last year to allow it to issue the tax claim.
Vodafone and Indian officials met multiple times to try and resolve the dispute.
India's cabinet Tuesday approved a proposal to negotiate a settlement to a tax dispute between Vodafone Group VOD.LN -0.29% PLC and local authorities, according to a cabinet minister.
The cabinet accepted Vodafone's offer to settle the tax dispute through a legal process called conciliation, in which a judge or a group of judges moderates settlement discussions between parties.
The offer came with a condition, however. The settlement discussion will be held in India and not before the UN Commission on International Trade Law, as offered by Vodafone, Finance Minister P. Chidambaram told reporters.
The government has slapped a tax charge of about $2 billion on Vodafone related to its $11.2 billion majority stake purchase in the Indian operations of Hutchison Whampoa Ltd. 0013.HK -0.88% in 2007.
It claims Vodafone was liable to deduct tax before paying Hutchison. Vodafone, however, contends that tax wasn't due as the deal was between two foreign entities, which didn't come under Indian laws.
Vodafone's stand was backed by India's Supreme Court in January 2012. The government, however, made a retrospective change to its tax laws in March last year to allow it to issue the tax claim.
Vodafone and Indian officials met multiple times to try and resolve the dispute.
20 February 2014
INDIAN CABINET HAS THE POWER OF NEGOTIATION ON ANY DISPUTED MATTER BY INTRODUCTION OF RETROSPECTIVE AMENDMENT. SO THE MATTER IS LIKE THIS
India's cabinet Tuesday approved a proposal to negotiate a settlement to a tax dispute between Vodafone Group VOD.LN -0.29% PLC and local authorities, according to a cabinet minister.
The cabinet accepted Vodafone's offer to settle the tax dispute through a legal process called conciliation, in which a judge or a group of judges moderates settlement discussions between parties.
The offer came with a condition, however. The settlement discussion will be held in India and not before the UN Commission on International Trade Law, as offered by Vodafone, Finance Minister P. Chidambaram told reporters.
The government has slapped a tax charge of about $2 billion on Vodafone related to its $11.2 billion majority stake purchase in the Indian operations of Hutchison Whampoa Ltd. 0013.HK -0.88% in 2007.
It claims Vodafone was liable to deduct tax before paying Hutchison. Vodafone, however, contends that tax wasn't due as the deal was between two foreign entities, which didn't come under Indian laws.
Vodafone's stand was backed by India's Supreme Court in January 2012. The government, however, made a retrospective change to its tax laws in March last year to allow it to issue the tax claim.
Vodafone and Indian officials met multiple times to try and resolve the dispute.
India's cabinet Tuesday approved a proposal to negotiate a settlement to a tax dispute between Vodafone Group VOD.LN -0.29% PLC and local authorities, according to a cabinet minister.
The cabinet accepted Vodafone's offer to settle the tax dispute through a legal process called conciliation, in which a judge or a group of judges moderates settlement discussions between parties.
The offer came with a condition, however. The settlement discussion will be held in India and not before the UN Commission on International Trade Law, as offered by Vodafone, Finance Minister P. Chidambaram told reporters.
The government has slapped a tax charge of about $2 billion on Vodafone related to its $11.2 billion majority stake purchase in the Indian operations of Hutchison Whampoa Ltd. 0013.HK -0.88% in 2007.
It claims Vodafone was liable to deduct tax before paying Hutchison. Vodafone, however, contends that tax wasn't due as the deal was between two foreign entities, which didn't come under Indian laws.
Vodafone's stand was backed by India's Supreme Court in January 2012. The government, however, made a retrospective change to its tax laws in March last year to allow it to issue the tax claim.
Vodafone and Indian officials met multiple times to try and resolve the dispute.
20 February 2014
so sir finally what is the conclusion and whether vodafone is liable to indian income tax or not?
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- TDS on Purchase of Immovable Property by NRI from NRI
- Capital gain from sale of house property
- INTEREST APPLICABLE ON ITC REVERSAL PORTION
- Current Account Opening for Sole Proprietorship with Udyam Certificate - Zero Turnover
- Value of property in capital gain
- When TDS on GST applied
- Before GSTAT- APL-02 Vs APL-04
- Annual return in Gst
- SFT Cash Deposit in Current Account
- FORM 26A APPLICABILITY
- GST Treatment of Insurance Commission for Existing GST Holder
- Cash gift by grand mother to her grand daughter
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
- No Compliences after incorporation
- USEFUL LIFE OF USED/SECOND HAND COMMERCIAL VEHICLES
- Claiming TDS deducted by builder on Hardship compensation and Corpus
- Address Change to another state of a Registered Trust with 12AB approval
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
