Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

4-Traders Homepage  >  Equities  >  London Stock Exchange  >  Vodafone Group plc    VOD   GB00B16GWD56

SummaryNewsAnalysisCalendarCompanyFinancialsConsensusRevisions 
News SummaryMost relevantAll newsSector newsTweets 

Vodafone Group plc : India May Hit Vodafone With $3.75 Billion Tax Bill After Law Change

share with twitter share with LinkedIn share with facebook
share via e-mail
0
05/09/2012 | 10:36am CET

India plans to demand about $3.75 billion in taxes from the Vodafone Group PLC (VOD.LN) if parliament approves a law to retroactively tax overseas mergers which have an underlying Indian asset, a senior official said Wednesday.

The demand will include basic tax of about $1.48 billion, a penalty of a similar amount and interest charges of about $790 million, Mr. R.S. Gujral, secretary at the Department of Revenue in the Ministry of Finance, said on television.

The amount mentioned by Gujral has been talked about for a while now, but this is the first time a senior government official has gone on record to confirm.

The amount is nearly double the $2 billion tax that the government is believed to have demanded earlier.

The case involves Vodafone's $11.2 billion purchase of a majority stake in Hutchison Whampoa Ltd.'s Indian assets in 2007. The British company acted through a Dutch subsidiary while Hutchison Whampoa did the deal using a Cayman Islands unit.

Vodafone says it isn't liable to pay any tax as the deal was conducted overseas, but the government says this argument is flawed as it involves the transfer of assets based in India.

The Supreme Court in January agreed with Vodafone's case.

The tax law change, introduced as part of the Finance Bill in March, is seen by industry experts as sidestepping the Supreme Court ruling.

The bill, which was passed by the lower house of parliament Tuesday, is now awaiting approval by the upper house.

If it is passed and gets presidential approval, it will allow India to tax transactions dating back to 1962.

"Once the Finance Bill is passed, the interest amount [in the Vodafone case] will be updated and then taken forward," Gujral said.

A Vodafone spokesman wasn't immediately available for comment.

--By Mumbai Bureau, Dow Jones Newswires; 91 22 6145 6100; djn.in@dowjones.com

share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news on VODAFONE GROUP PLC
01/21 VODAFONE : CTU may withdraw LTE licences from O2, Vodafone due to prices
01/21 VODAFONE QATAR : Concern over children's online safety
01/20 VODAFONE : and TDC renew strategic partnership agreement for Denmark and Norway
01/20 VODAFONE : CTU threatens to revoke licences if O2, Vodafone refuse to cut wholes..
01/20 VODAFONE SUPERNETTM 4G LAUNCHED IN M : With a bonanza of special offers for cust..
01/20 VODAFONE : Decision is due on phone mast
01/19 VODAFONE QATAR : treasure hunts promote digital awareness
01/19 VODAFONE : Jio to continue aggressive offer; Airtel, Vodafone upgrade networks
01/19 VODAFONE : returns to Sweden with Tele2 tie-up to centralise services
01/19 VODAFONE : ‘Vodafone Foundation came through for me’- student
More news
Sector news : Wireless Telecommunications Services - NEC
01/20DJAT&T : DirecTV Now Added at Least 200,000 Subscribers in First Month -- 2nd Upda..
01/20DJAT&T : DirecTV Now Added at Least 200,000 Subscribers in First Month -- Update
01/20DJAT&T's DirecTV Now Added 200,000 Subscribers in First Month
01/19DJCORRECT : Malaysia's Axiata Selling 34.1% of edotco for $600 Million Via Placeme..
01/19DJAXIATA BHD : Malaysia's Axiata Selling 34.1% of edotco for $600 Million Via Plac..
More sector news : Wireless Telecommunications Services - NEC
Advertisement
Financials (€)
Sales 2017 46 871 M
EBIT 2017 2 845 M
Net income 2017 74,9 M
Debt 2017 34 882 M
Yield 2017 526%
P/E ratio 2017 -
P/E ratio 2018 0,35
EV / Sales 2017 2,10x
EV / Sales 2018 2,05x
Capitalization 63 477 M
More Financials
Technical analysis trends VODAFONE GROUP PLC
Short TermMid-TermLong Term
TrendsBearishBearishBearish
Technical analysis
Income Statement Evolution
More Financials
Consensus 
Mean consensus OUTPERFORM
Number of Analysts 26
Average target price 243 €
Spread / Average Target 10 102%
Consensus details
EPS Revisions
More Estimates Revisions
Managers
NameTitle
Vittorio Amedeo Colao Chief Executive Officer & Executive Director
Gerard Johannes Kleisterlee Chairman
Nicholas Jonathan Read Group Chief Financial Officer & Executive Director
Johan Wibergh Group Technology Officer
Philip Edward Yea Senior Independent Non-Executive Director
More about the company
Sector and Competitors
1st jan.Capitalization (M$)
VODAFONE GROUP PLC67 914
AT&T INC.-2.54%254 544
CHINA MOBILE LTD.5.37%227 903
NTT DOCOMO INC3.57%95 109
SOFTBANK GROUP CORP8.91%81 110
KDDI CORP4.04%70 365
More Results