High Court stays Rs 1500-crore tax demand on Idea Cellular
The Bombay High Court has stayed a Rs 1,500-crore tax demand on Idea Cellular raised in 2010-11 relating to the transfer of some assets by the telecom company to its unit, Aditya Birla Telecom (ABTL), Economic Times reported.
The tax demand followed a slew of similar ones pertaining transfer of assets, including on transfer of telecom towers from Vodafone India's subsidiaries to Indus Towers - a tower joint venture between Idea Cellular, Bharti Airtel and Vodafone Group Plc's India unit.
In 2009-10, Idea's Bihar operations were transferred into ABTL. While the demerger was done under an approved Scheme of Arrangement, the taxman said some of the transfers amounted to taxable perquisites and raised a tax demand during the financial year 2010-11.
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