The Supreme Court today directed UK-based telecom major Vodafone to appear before the Income Tax Department which had instructed the company to pay penalty in the USD 2 billion tax case relating to the telecom major’s stake purchase in Hutchison-Essar. A three-judge bench headed by Chief Justice S H Kapadia asked the company to file its representation before the IT department.
“We direct the company to file its representation before the official concerned in this case. ..the officials would proceed in the matter,” the court said.
Meanwhile, the court also made it clear that if the IT Department passes any order for penalty, it would not be enforced till Supreme Court’s further order as the main matter of tax dispute is still pending in the apex court.
“No steps would be taken to enforce a penalty if imposed on the petitioner,” the court said.
