NE BUSINESS BUREAU
NEW DELHI, DEC 23
British explorer Cairn Energy Plc has won an arbitration against the Indian government, seeking Rs 10,247 crore in retrospective taxes, sources said Wednesday.
This is the second blow to the government in three months. An international arbitration tribunal had in September ruled against India levying retrospective taxes on Vodafone Group.
Sources said an international arbitration tribunal ruled that India’s tax claim of Rs 10,247 crore past taxes over a 2006-07 internal reorganisation of Cairn’s India business was not a valid demand, sources said.
The tribunal has also asked India to pay the funds withheld along with the interest to the Scottish oil explorer for seizing dividend, tax refund, and sale of shares to partly recover the dues.
