Tata Communications Spain Wins VAT Litigation

Tata Communications (Spain) S.L. ('TC Spain'), a subsidiary of Tata Communications Ltd, has won a significant VAT litigation case. The National Court of Spain has annulled a resolution by the Tribunal Económico Administrativo Central (TEAC), which had imposed a VAT demand and penalty of EUR 15,505,607.73 and EUR 18,102,272.48 respectively. This ruling is a material development, though the matter is still subject to further legal and administrative processes and has not reached finality. The original litigation concerned a refund of input VAT claimed by TC Spain.