‘FinMin willing to discuss tax case Vodafone’
The revenue department today sent a reply to the Vodafone's representation on Rs 11,200 crore tax issue and also expressed its willingness to discuss the matter with company officials. "Finance ministry has replied to Vodafone on tax case. The revenue department has written that both the secretary and the CBDT chairman are keen to talk to settle the issue," a senior finance ministry official said.
In its reply to the tax reminder notice sent by the revenue department last week, Vodafone had said it believes it is not liable to pay tax for its $11.2 billion acquisition of Indian telecom business of Hutchison Whampoa.
"Vodafone has replied to this reminder, stating that it continues to believe that no tax is payable on the above transaction," the British firm had said in its reply to the revenue department's reminder notice.
The tax case relates to capital gains tax arising from the sale of telecom business by Hong Kong-based Hutchison Whampoa that involved Indian assets to Vodafone in 2007.