After slapping over Rs 11,000 crore tax notice on Vodafone over its deal with Hutch , the income tax department today said it is not “unnecessarily aggressive” on this case and is just implementing the law. “We are implementing the law as it is. We are not being unnecessarily aggressive,” Central Board of Direct Taxes (CBDT) Chairman SSN Moorthy told reporters at Economic Editors’ Conference.
He said a few similar cross-border (deal) cases are also under the I-T Department’s scanner, adding that raising the tax demand will not impact foreign investment in India.
“We have several (Vodafone like) cases in pipeline,” he added.
Last week, the government asked Vodafone to pay Rs 11,218 crore in taxes within a month for the acquisition of Hutchison’s stake in the telecom joint venture, Hutchison Essar (now Vodafone) in India in 2007.
Vodafone had bought majority stake owned by Hutchison in the company offering mobile services in India.
Yesterday, the Supreme Court adjourned a hearing on the tax case against Vodafone to November 15, after the telecom company sought time to go through the Rs 11,218 crore tax notice sent by the Income Tax Department.