In a bonanza for the loss making telecom PSU, state-run MTNL today received over Rs 177 crore as income tax refund for the year 2010-11.
“MTNL has received a refund order amounting to Rs 177.76 crore from the Income Tax Department pertaining to Assessment Year 2010-11,” MTNL said in a filing to the Bombay Stock Exchange.
MTNL had won the case in the Income Tax tribunal against Income Tax Department for a refund of over Rs 1,200 crore in tranches.
MTNL was earlier denied to consider the licence fee as business expense and was therefore charged income tax on it for nearly eight years. The PSU had challenged this and had won the case in the tribunal.
The company in financial year 2010-11 showed improvement in its revenue. In FY’11, total income rose to Rs 3,841.2 crore as against Rs 3,781 reported in FY 2009-10.