XCSFDHG46767FHJHJF
tdp2664 InvestorPlace British mobile telecommunications company Vodafone (NASDAQ: VOD ) was let off the hook for a massive, $4.4 billion bill issued by Mumbai’s high court. This move, made by India’s Supreme Court, absolved Vodafone of a $4.4 billion bill in penalties and back taxes and will hopefully remove many uncertainties foreign companies may have with investing in India in the future. The dispute began in May 2007 when Vodafone International Holdings BV — Vodafone’s Dutch subsidiary — gained a 67% stake in a Cayman Islands company called CGP Investments Ltd. This company held the Indian telecom assets of Hutchison Telecommunications — another 2007 acquisition. With this in mind, Mumbai’s high court decided the indirect transfer of Indian assets during the deal, which accrue revenue in India, made Vodafone liable for taxation. However, Vodafone vehemently argued that because the deal took place between two foreign entities, no tax should be owed to India. As it turned out, India’s Supreme court agreed with Vodafone’s argument, thus providing much relief to at least six other companies facing similar litigation:
No comments:
Post a Comment