NEW DELHI (Reuters) – India has challenged an international arbitration court’s decision against it over a $ 2 billion tax claim involving Vodafone Group, a senior government official told Reuters on Thursday on condition that urra.
The challenge was conducted in Singapore.
Vodafone in September had won the case against India, ending one of the most prominent controversies in the country that had raised concerns among investors about retrospective tax claims on companies.
An international settlement tribunal in The Hague ruled that India imposed a tax burden on Vodafone in breach of an investment agreement between India and the Netherlands. India had 90 days to claim the ruling.
India’s finance ministry did not immediately respond to an email and message seeking comment on the story.
India lost another international settlement case this week, against Cairn Energy, over a tax dispute. More than $ 1.2 billion has been ordered to be paid to the UK-registered company in damages and costs.
India is also expected to challenge this ruling because of the size of the award, said a senior government official, who did not want to be named as the decision was not yet public.
India has embarked on a series of negotiations with investors including Deutsche Telekom, Nissan Motor, Vodafone and Cairn Energy over issues ranging from post-production taxes to pay disputes.