The Bombay high court on Tuesday deferred a hearing on Vodafone Plc’s petition against the income tax authorities without specifying a new date for next hearing. The Bombay high court on Tuesday deferred a hearing on Vodafone Plc’s petition against the income tax authorities without specifying a new date for next hearing.
In October 2010, Vodafone had moved high court against a move by Indian tax office to treat the company as an agent of the seller in its 2007 acquisition of Hutchison Whampoa’s mobile business in India. According to the legal counsel of in come tax department, the case will be heard in the high court only after the Supreme court hearing of Vodafone’s appeal on 19 July.
Last year, the income-tax department raised a tax liability of Rs11,217.95 crore on Vodafone International Holdings BV, treating it as an assesse in default for its failure to deduct tax at source/withhold tax before making a payment of $11.2 billion to Hutchison Telecommunications International Ltd.
Later in November, the Supreme Court had directed Vodafone, which is contesting the tax demand, to deposit Rs2,500 crore, along with a bank guarantee of Rs8,500 crore, within eight weeks for adjudication of the suit.