Tata Group Drags Docomo To High Court

Amid a 2017 dispute, Tata Group drags its former partner and Japanese telecom operator, NTT Docomo to the Bombay High Court, against goods and service tax (GST) liabilities of Rs 1,500 crore.

In a writ petition under Article 226 in November, Tata has challenged its former partner after seeking government intervention in the matter earlier.

Meanwhile, the multinational conglomerate Tata claims to settle USD 1.27 billion in payments to the Japanese telecom in 2017.

The matter will be heard in court on 9 January 2023, in an address to the respondents, the Ministry of Finance under the Union of India, and the Central Board of Indirect Taxes & Customs (CBIC), under the Secretary and the Additional Director, DGGI.

As per reports, the Directorate General of GST Intelligence (DGGI) aims at pursuing this dispute. The agency had earlier issued a tax intimation to the company’s ascertained payable under DRC – 01 A form case.

As a responsible multinational conglomerate, Tata states, it was an arbitrary case as the payment was settled at an international court in London. It further added the due amount was paid by Tata Sons on behalf of Tata Teleservices and not for the service provided by NTT Docomo.

As of now, as per the imposed claim by DGGI, Tata Sons is liable to pay 18 per cent GST on behalf of Tata Teleservices under the Schedule 2 of the CGST Act.