Supreme Court directs I-T Dept, Rs. 733 crore tax refund to Vodafone idea.

Earlier, the Telecom Company, demanded to Income Tax Department a refund of Rs. 582 crore for the assessment year 2015-2016, but it has been stayed by the Income Tax Appellant Tribunal.

Supreme Court turned down its appeal against refund being withheld for various years that is the reason the examination was pending. These include assessment years 2015-2016 to 2017-2018 and the Supreme Court also directed to the respondents to conclude the proceeding as early as possible.

Before Supreme Court, they filled case in Delhi High Court on dated Dec 14, 2018 for the refund but High Court dismissed the case by Vodafone Mobile Service Ltd, issue of Rs. 4,759.74 crore refunds.

Vodafone appeal against the order of High Court in the Supreme Court and said that Income Tax Department intentionally withholding the dues. And then the Apex Court confirmed with the High Court Order to withhold the refund of more than Rs. 4,500 crore for the pending assessment years of 2015-2016 to 2017-2018 and the appeal held by two judges’ bench, the judges were Justice Uday Umesh Lalit and Justice Vineet Saran on dated April 29, 2020 that they directed under Section 143(3) of Income Tax Act which indicates that the appellant (telecom company) is entitled to refund of Rs. 733 crore, this section as a consideration Supreme Court given an ordered to the Income Tax Department on Wednesday, refund of Rs. 733 crore will be given to the Telecom Company within four weeks from today and the bench also noted that the Section 245 of the Income Tax Act, under this section the Income Tax Department would be entitled to invoke requisites power.

Experts aware about this development and said that the refund amount is very essential for the company. Since it owes nearly Rs. 60,000 Crore in AGR related due to the Telecommunication.