{"id":43634,"date":"2016-06-29T08:38:52","date_gmt":"2016-06-29T03:08:52","guid":{"rendered":"https:\/\/www.legalindia.com\/news\/?p=43634"},"modified":"2016-06-29T08:38:52","modified_gmt":"2016-06-29T03:08:52","slug":"vodafone-tax-case-delhi-hc-allows-penalty-proceedings","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/news\/vodafone-tax-case-delhi-hc-allows-penalty-proceedings","title":{"rendered":"Vodafone tax case: Delhi HC allows penalty proceedings"},"content":{"rendered":"
\"Vodafone<\/a>
Vodafone tax case: Delhi HC allows penalty proceedings<\/figcaption><\/figure>\n

Delhi High Court today allowed the income tax department to go ahead with its penalty proceedings against telecom major Vodafone, but asked the agency not to give effect to its final order till the next hearing in July.<\/p>\n

A vacation bench of V Kameswar Rao and I S Mehta passed the order on Vodafone’s plea seeking stay on the penalty proceedings which was initiated against it in December last year in connection with an assessment order for the year 2011-12.
\n“..Penalty proceedings initiated would be allowed to continue and any final order issued (by IT department) will not be given effect to till next date of hearing on July 7,” the court said.<\/p>\n

It also issued notice to the Centre and the IT department on Vodafone’s plea and listed the matter for further hearing.<\/p>\n

During the hearing today, Vodafone told the court that the final order was expected to be passed tomorrow and pursuant to that the department would raise a demand of Rs 1,500 crore which would have to be deposited within 30 days.<\/p>\n

The company raised apprehension that the tax department may not give it the stipulated 30 days and could initiate recovery proceedings within a week.<\/p>\n

In response to this, the department said normally, the recovery proceedings are initiated after completion of the stipulated period. In the instant case, no recovery proceedings would be started till the next date, it submitted.<\/p>\n

Vodafone also told the court that another division bench of the high court on December 23 last year had directed the department not to give effect to its assessment order, but despite that, the penalty proceedings were initiated on December 29, 2015.<\/p>\n

The company said the penalty proceedings emanated from the assessment order, which was not to be given effect to as per the court’s order.
\nVodafone’s application to stay the penalty proceedings<\/p>\n

was filed in its main petition challenging a decision of a dispute resolution panel, set up under the Income Tax Act, to disallow exemptions amounting to over Rs 2,800 crore and also proposed adding of the amount to its taxable income for the assessment year 2011-12.<\/p>\n

The dispute resolution panel (DRP), set up as an alternative dispute resolution mechanism, had disallowed exemptions under various heads, including network site rentals, annual license fee, unaccounted income, depreciation on 3G spectrum and transfer pricing adjustments on advertisements and marketing expenses, Vodafone has said in its petition.<\/p>\n

The company has also claimed that the panel gave no reasons for dismissing the objections.<\/p>\n

“Huge additions have been proposed solely on a complete and prima facie non-application of mind…,” Vodafone has alleged in its plea against the DRP order.<\/p>\n

( Source – PTI )<\/p>\n","protected":false},"excerpt":{"rendered":"

Delhi High Court today allowed the income tax department to go ahead with its penalty proceedings against telecom major Vodafone, but asked the agency not to give effect to its final order till the next hearing in July. A vacation bench of V Kameswar Rao and I S Mehta passed the order on Vodafone’s plea […]<\/p>\n","protected":false},"author":38299,"featured_media":40721,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":true,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[1],"tags":[146,255,31987,117,80,36967,36966],"class_list":["post-43634","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-top-law-news","tag-court","tag-delhi-high-court","tag-featured","tag-law","tag-legal-news","tag-penalty-proceedings","tag-vodafone-tax-case"],"yoast_head":"\nVodafone tax case: Delhi HC allows penalty proceedings - Legal News India - Supreme Court & High Court Updates<\/title>\n<meta name=\"description\" content=\"Delhi High Court today allowed the income tax department to go ahead with its penalty proceedings against telecom major Vodafone, but asked the agency not - Get the latest legal news from the Supreme Court, High Courts, and government. Essential updates on judgements, acts, and in-depth analysis for lawyers, advocates, and law students in India.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/news\/vodafone-tax-case-delhi-hc-allows-penalty-proceedings\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Vodafone tax case: Delhi HC allows penalty proceedings - Legal News India - Supreme Court & High Court Updates\" \/>\n<meta property=\"og:description\" content=\"Delhi High Court today allowed the income tax department to go ahead with its penalty proceedings against telecom major Vodafone, but asked the agency not - Get the latest legal news from the Supreme Court, High Courts, and government. 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The department had initiated proceedings against Vodafone and\u2026","rel":"","context":"In "Top Law News"","block_context":{"text":"Top Law News","link":"https:\/\/www.legalindia.com\/news\/category\/top-law-news"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.legalindia.com\/news\/wp-content\/uploads\/sites\/2\/2016\/01\/DELHI_HIGH_COURT.jpg?fit=636%2C477&ssl=1&resize=350%2C200","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.legalindia.com\/news\/wp-content\/uploads\/sites\/2\/2016\/01\/DELHI_HIGH_COURT.jpg?fit=636%2C477&ssl=1&resize=350%2C200 1x, https:\/\/i0.wp.com\/www.legalindia.com\/news\/wp-content\/uploads\/sites\/2\/2016\/01\/DELHI_HIGH_COURT.jpg?fit=636%2C477&ssl=1&resize=525%2C300 1.5x"},"classes":[]},{"id":46188,"url":"https:\/\/www.legalindia.com\/news\/trai-recommendation-to-impose-fine-on-vodafone-challenged-in-delhi-hc","url_meta":{"origin":43634,"position":1},"title":"TRAI recommendation to impose fine on Vodafone challenged in Delhi HC","author":"Legal India News","date":"December 16, 2016","format":false,"excerpt":"Telecom major Vodafone today told the Delhi High Court that the Telecom Regulatory Authority of India's recommendation to the Centre to impose Rs 1050 crore penalty on it for not giving interconnectivity to Reliance Jio was an \"arbitrary\" decision. TRAI has recommended imposition of a fine of Rs 50 crore\u2026","rel":"","context":"In "Top Law News"","block_context":{"text":"Top Law News","link":"https:\/\/www.legalindia.com\/news\/category\/top-law-news"},"img":{"alt_text":"TRAI recommendation to impose fine on Vodafone challenged in Delhi HC","src":"https:\/\/i0.wp.com\/www.legalindia.com\/news\/wp-content\/uploads\/sites\/2\/2016\/11\/CDR-racket.jpg?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":19565,"url":"https:\/\/www.legalindia.com\/news\/vodafone-serves-notice-to-government-on-tax-proposal","url_meta":{"origin":43634,"position":2},"title":"Vodafone serves notice to government on tax proposal","author":"Legal India Admin","date":"April 18, 2012","format":false,"excerpt":"The Vodafone Group has served a 'dispute notice' on the Centre, the first step before it begins international arbitration proceedings under the India-Netherlands bilateral investment treaty against the government's controversial move to tax the company's acquisition of Hutchison Essar in 2007. This is the first formal action initiated by the\u2026","rel":"","context":"In "Top Law News"","block_context":{"text":"Top Law News","link":"https:\/\/www.legalindia.com\/news\/category\/top-law-news"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":27681,"url":"https:\/\/www.legalindia.com\/news\/mittal-ruia-appear-in-delhi-court-in-a-2g-spectrum-case","url_meta":{"origin":43634,"position":3},"title":"Mittal, Ruia appear in Delhi court in a 2G spectrum case","author":"Legal India Admin","date":"April 11, 2013","format":false,"excerpt":"Bharti\u00a0CMD\u00a0Sunil Mittal\u00a0and Essar group promoter\u00a0Ravi Ruia\u00a0today appeared\u00a0in a Delhi court which posted the matter for further proceedings on April 16. Sunil Mittal\u00a0and\u00a0Ravi Ruia\u00a0have been summoned as accused in the additional\u00a02G\u00a0spectrum\u00a0allocation case. Mittal's counsel placed before special\u00a0CBI\u00a0judge O P Saini the order passed by the Supreme Court postponing till April 16\u2026","rel":"","context":"In "Corporate Law News"","block_context":{"text":"Corporate Law News","link":"https:\/\/www.legalindia.com\/news\/category\/corporate-law-news"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":46688,"url":"https:\/\/www.legalindia.com\/news\/idea-delhi-hc-trais-rs-950-cr-fine-imposition","url_meta":{"origin":43634,"position":4},"title":"Idea in Delhi HC against TRAI’s Rs 950 cr fine imposition","author":"Legal India Admin","date":"January 24, 2017","format":false,"excerpt":"Idea Cellular today moved Delhi High Court against TRAI's recommendation to impose penalty of Rs 950 crore on the telecom firm for allegedly not providing interconnection to Reliance Jio (RJIO), even as DoT said the plea was premature. The Department of Telecommunications (DoT) claimed before a bench of Chief Justice\u2026","rel":"","context":"In "Top Law News"","block_context":{"text":"Top Law News","link":"https:\/\/www.legalindia.com\/news\/category\/top-law-news"},"img":{"alt_text":"Idea in Delhi HC against TRAI's Rs 950 cr fine imposition","src":"https:\/\/i0.wp.com\/www.legalindia.com\/news\/wp-content\/uploads\/sites\/2\/2016\/08\/delhi-HC-300x200.jpg?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":27707,"url":"https:\/\/www.legalindia.com\/news\/3g-centre-restrained-from-taking-steps-against-vodafone-idea","url_meta":{"origin":43634,"position":5},"title":"3G: Centre restrained from taking steps against Vodafone, Idea","author":"Legal India Admin","date":"April 12, 2013","format":false,"excerpt":"In a breather for Vodafone and Idea Cellular, the Delhi High Court today restrained the Centre from taking any \"coercive steps\" against the telecom majors which have been asked to pay penalty of Rs 550 crore and Rs 300 crore respectively for providing 3G services outside their circles without requisite\u2026","rel":"","context":"In "Corporate Law News"","block_context":{"text":"Corporate Law News","link":"https:\/\/www.legalindia.com\/news\/category\/corporate-law-news"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"jetpack_shortlink":"https:\/\/wp.me\/p6H5Bf-blM","jetpack_likes_enabled":true,"_links":{"self":[{"href":"https:\/\/www.legalindia.com\/news\/wp-json\/wp\/v2\/posts\/43634","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.legalindia.com\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.legalindia.com\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.legalindia.com\/news\/wp-json\/wp\/v2\/users\/38299"}],"replies":[{"embeddable":true,"href":"https:\/\/www.legalindia.com\/news\/wp-json\/wp\/v2\/comments?post=43634"}],"version-history":[{"count":0,"href":"https:\/\/www.legalindia.com\/news\/wp-json\/wp\/v2\/posts\/43634\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.legalindia.com\/news\/wp-json\/wp\/v2\/media\/40721"}],"wp:attachment":[{"href":"https:\/\/www.legalindia.com\/news\/wp-json\/wp\/v2\/media?parent=43634"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.legalindia.com\/news\/wp-json\/wp\/v2\/categories?post=43634"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.legalindia.com\/news\/wp-json\/wp\/v2\/tags?post=43634"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}