Key Pointers –

• Tata Sons, after approaching the government to mediate, has now tapped the high court through a writ petition to challenge the Rs 1,500 crore claimed on GST liabilities on its payments to Docomo, as per the report. Tata had settled $1.27 billion in payments to the Japanese telco in 2017.
• Sources told that the DGGI is “intent on pursuing the case” and has sent the company an intimation on tax as established through the DRC-01 A form. This comes prior to a ‘show-cause’ notice.
• The company has on its part claimed that the settlement was reached in a London court and hence GST was not applicable. A senior official told the paper that “it is an arbitration case that was paid and closed”.
• DGGI has levied its claim as per Schedule 2 of the CGST Act, which treats the payment of loans as a service rendered. And a senior official said Tata Sons is thus liable to pay 18 percent GST on behalf of Tata Teleservices.

https://www.moneycontrol.com/news/business/tata-group-moves-bombay-hc-against-rs-1500-crore-gst-claim-on-docomo-deal-report-9739341.html