NEW DELHI : Facing income tax proceedings, Nokia India Pvt Ltd told the Supreme Court that its India assets have been left out of the $7.2-bln global deal between Nokia Corp and Microsoft Corp and it is “unlikely” that there will be any other buyer for it.

“The probability of it (finding a buyer for Nokia India assets) happening is very remote,” Nokia India’s counsel Vikas Srivastava told the court in response to court’s query on whether the company can sell its assets to some other buyer.

The court also recorded an statement by Nokia India that it will not sell its India assets, including the Chennai factory, without prior permission of the Delhi High Court, where the tax case is pending.

Nokia India also said that since the deal with Microsoft for Indian assets did not go through, all assets of the company in India remain attached with the tax department. The court today disposed off tax department’s petition after recording Nokia’s statement.

Income tax authorities had during earlier hearings told the court that existing tax demands against Nokia India stand at over 26 bln rupees and pegged the projected demands at up to 210 bln rupees including penalty and interest.

This was beside capital gains tax that might accrue on the deal, the tax department had said.  Nokia’s India assets were left out of the deal owing to the concerns of huge tax demands proposed to be raised by the tax department.  -Cogencis

(To receive our E-paper on whatsapp daily, please click here. We permit sharing of the paper's PDF on WhatsApp and other social media platforms.)

Free Press Journal