Vodafone Takes Tax Appeal To India's Supreme Court
13 Enero 2009 - 1:43AM
Noticias Dow Jones
Vodafone International Holdings BV Tuesday said it has appealed
to India's Supreme Court against the federal government's move to
impose capital gains tax of up to $2 billion on its purchase of a
67% stake in Hutchison Essar.
The appeal, which was dismissed by the Bombay High Court early
December, is likely to be heard between Jan. 19 and Jan. 23, a
company spokesman told Dow Jones Newswires.
Vodafone International had in February 2007 paid $11 billion to
CPG Ltd. - which is owned by Hutchison Telecommunications
International Ltd. (HTX) and registered in the Cayman Islands - for
the stake in the Indian telecommunications company.
Vodafone International, a Dutch firm wholly owned by the U.K.'s
Vodafone Group PLC (VOD.LN), has been arguing since June 23 last
year against the Indian state's move to tax the deal.
India's income tax department argues that Vodafone is liable to
pay taxes because the transaction involved the transfer of an
Indian asset, in this case the Hutchison Essar stake.
The tax body said also that Vodafone should have withheld tax on
behalf of the Indian government.
The Bombay High Court had given Vodafone International eight
weeks to file a fresh appeal against its decision in the Supreme
Court.
Hutchison Telecommunications is the mobile phone services unit
of Hong Kong-based Hutchison Whampoa Ltd. (0013.HK). Hutchison
Essar was renamed Vodafone Essar Ltd. after the stake sale.
-By Deepali Gupta, Dow Jones Newswires; 91 22 2288 4212;
deepali.gupta@dowjones.com
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