The
Supreme Court has upheld a Bombay High Court order directing the Income Tax
Department to refund Rs 1,128 crore to Vodafone Idea (Vi), along with interest
of Rs 500 crore, the telco informed the exchanges on Tuesday. However, the
total refund of Rs 1,600 crore had already been received by Vi in December, and
the latest developments will not result in any new receivables for the company,
Vi said.
The
dispute stemmed from a refund claim made by Vi for the assessment year 2016–17.
The telco had filed a writ petition before the Bombay High Court, requesting
the department issue the refund, which had been delayed as the tax department
failed to pass a final assessment order within the prescribed time limit. In
its November 2023 judgment, the Bombay High Court ruled in favour of Vi,
ordering the tax department to refund the amount within 30 days.
"Post
the above decision, the company received the due refund along with applicable
interest amounting to Rs 1,647+ crore on December 8, 2023," Vi informed
the exchanges on Tuesday.
Subsequently,
the department filed a Special Leave Petition (SLP) with the Supreme Court in
January 2025, challenging the ruling. However, on Monday, the Supreme Court
dismissed the petition on grounds of delay, effectively upholding the high
court's decision. "As the company has already received the due refund in
the past, no further amount is receivable post this judgement of the Hon’ble
Supreme Court," Vi said.