Despite winning its long-running $2.5 billion dispute with the authorities earlier this year, Vodafone’s Dutch subsidiary indicated that it may seek arbitration under a bilateral treaty between India and the Netherlands.
The dispute relates to March’s Finance Bill which proposed retrospective legislation to tax Vodafone-style transactions dating back to 1962.
The telecommunications company, India’s largest foreign investor, claims that the proposal violates legal protections and harms international investors.
“Vodafone has asked the Indian government to abandon or suitably to amend the retrospective aspects of the proposed legislation as Vodafone would prefer to reach an amicable solution to this matter,” read a group statement.
FURTHER READING:
India to target Vodafone-style transactions going back 50 years
TEI explains objections to Indian retrospective amendment
