Ad Here  
May
June
July
August
September
October
 
 
Hyundai Grand i10 awaiting launch Aircraft lessors to get protection from defaulting airlines German envoy Steiner caps a language row Automobile sector in slump... Flipkart India in the red by Rs 280 crore Fox Star Studios to tie-up with Bolly-wood and Kollywood Vodafone slapped with tax notice of Rs 3700 crore GMR to raise US $ 250 mn thru QIP TVS bullish on the two wheeler market? Wal-Mart studying FDI norms post split with Bharti How important is Modiís German visit... LANCO opens negotiations with buyers for Karnataka power plant Urja Sangam in Delhi Jet-Etihad Rs 2000 plus crore deal to be cleared SpiceJet in the news again Infosys not to cut prices Renault revving up small car launch Hunt for new finance secretary on... ONGC to draw down on reserves to meet CAPEX needs TCS, Indiaís biggest block buster Kolkata kisses goodbye to Ambi? Trends point to a hung assembly Airlines hit by service tax on lease Smartphone prices may change Capital Notes Plans to double trade with Latin America Vodafone to buy out minority shareholders While MoTown is on a tailspin, the telecom sector is staging a rally Lanco to sell Australian acquisition Canada screams over IT outsourcing to India Carlyle invests in Trehanís Medanta Medical Centre Excise duty may halt the war in SUV market Singapore Airlines prefers Airbus Latin America beckons India for investments
 
Vodafone slapped with tax notice of Rs 3700 crore

Like the phoenix rising from the ashes, Vodafone India’s taxation problems have once again risen. Income Tax authorities have slapped Rs 3700 crore tax notice as their liability to pay to the authorities on transfer pricing from the sales of shares by its local subsidiary. Vodafone India has been asked to clear the tax within 30 days or face penal action. Vodafone has hit back saying it will contest it in courts. Only last month the Bombay High Court had ruled that the tax department’s dispute resolution panel should quickly decide on the transfer pricing tax case of Vodafone. DRP is now considered as the alternative mechanism to settle tax disputes arising from transfer pricing. Transfer pricing is a practice where transactions are priced between a group’s companies based in different countries.

    The case relates to transfer pricing order for assessment year 2008-09 over the sales of shares by the UK company’s local units, Vodafone India Services Pvt Ltd, to a Mauritius based group. Vodafone sold shares to the Mauritius Company for Rs 246 crore at a value of Rs 8519 per share. The Tax department has, however, determined the value of the shares at Rs 53,775 per share. The difference is being sought to be taxed by the Income Tax authorities’ as income in the hands of the tele services provider. The original tax demand against the firm was just around Rs 400 crore.

 

Author :
Reported On :
Sector :
Shoulder :
RELATED NEWS
ABOUT IE
IE, the business magazine from south was launched in 1968 and pioneered business journalism in south. Through the 45 years IE has been focusing on well-presented and well-researched articles. When giants in the industry stumbled to keep pace with the digital revolution, IE stayed affixed embracing technology.
Read more
 
PRIVACY POLICY
Economist Communications Ltd is committed to ensuring that your privacy is protected.
Read more
TERMS AND CONDITIONS
You agree that your use of this Website and the purchase of the magazine will be governed by these terms and conditions.
Read more
 
CONTACT US
S-15, Industrial Estate,
Guindy,
Chennai - 600 032.
PHONE: +91 44 22501236
EMAIL: indecom1968@gmail.com