Transfer pricing tax clash case won by Vodafone [ Current Affairs ]
About the case: Vodafone, British telecom giant has the transfer pricing tax dispute case against Indian Income Tax authorities which came into their favour by Bombay high court. Vodafone India had challenged the order of the Income Tax Appellate Tribunal (ITAT).
- In 2014, the IT tribunal had asked Vodafone India to deposit 200 crore rupees by February 2014.
- Income tax authorities had imposed Rs. 3, 700 crore transfer pricing tax on Vodafone India over the capital gains.
- Vodafone had argued that the IT Department has no jurisdiction in this case because the transaction was between it and its subsidiary.
- It mentioned that the transaction was not an international one so it does not attract any tax.
- IT Department had claimed that Vodafone’s Indian arm had deliberately sold its shares at a lower price (undervalued).
- It is - British multinational telecommunications company.
- Headquarters – London.
- it owns and operates networks in 21 countries.
- it has partner networks in over 40 additional countries.
- The name Vodafone comes from voice data fone.
- Vodafone India Ltd. is the second largest mobile network operator in India by subscriber base, after Airtel
- Published on: October 12, 2015