Vodafone Idea to contest ₹6.38 billion GST penalty order

Vodafone Idea Ltd has disclosed an order under the Central Goods and Services Tax Act, 2017, received on December 31, 2025, citing short payment of tax and excess availment of input tax credit. The order includes a penalty of ₹6,37,90,68,254, along with demand and interest. Vi intends to challenge the order legally.

Key highlights

• Penalty amount: ₹6.38 billion imposed under CGST, alongside demand and interest.
• Company stance: Vodafone Idea disagrees with the order’s findings and will pursue legal action to contest the claims.
• Order timeline: Communication received on December 31, 2025, covering alleged GST discrepancies.
• Regulatory backdrop: Separately, government relief has capped AGR liabilities at ₹87,695 crore with payments scheduled over FY2031–FY2041, extending Vi’s runway for compliance and operations.
• Market context: The developments add to ongoing restructuring and compliance updates tracked across financial media coverage.

Vodafone Idea’s legal response and the evolving regulatory framework will be key to investor confidence and operational planning through 2026.

Sources: InvestyWise; CIO Insider; The Economic Times