Vodafone ordered to deposit £1.5bn in Indian tax dispute

 
City A.M. Reporter
India's top court on Monday directed Vodafone to deposit 25bn rupees (£341.6m) within three weeks in relation to the $2.5bn (£1.55bn) tax dispute, a Vodafone spokesman said.

Vodafone has also been directed to make a bank guarantee worth 85bn rupees within eight weeks, the official said.

Vodafone, fighting a tax bill in India over its 2007 purchase of Hutchison Whampoa Ltd's mobile business in the country, had appealed to the Supreme Court challenging a lower court order that Indian tax authorities had jurisdiction over tax bills in cross-border deals.

The tax office asked Vodafone to pay 112.18bn rupees within 30 days, but the British firm said it "strongly disagrees" with the calculation.