The Supreme Court dismissed Tata Teleservices’ (TTSL) plea challenging the imposition of Value Added Tax (VAT) on the company by the Andhra Pradesh (AP) Government.
The AP government had issued a notice to TTSL directing it to pay Rs 30 crore for providing services to subscribers under various heads like value-added services, installation charges, tariffs from leased lines, infrastructural income, recharge coupons and refundable deposits from subscribers.
TTSL argued that had already paid service tax on certain facilities provided to subscribers and the same were being taxed once again by the sales tax authorities under the Andhra Pradesh Value Added Tax Act.
Subsequently the AP HC had directed TTSL to pay one-third of the amount to the AP government.
The SC has now upheld the decision issued by the HC and has given time till April 15 for TTSL to deposit Rs 10 crore. |