Photo: BloombergNew Delhi: The income tax department (ITD) has seized a further Rs440 crore of dividend income due to Cairn Energy Plc to recover a part of the Rs10,247 crore tax demand it had raised on the British firm using a retrospective tax legislation. Cairn filed an appeal before Income Tax Appellate Tribunal, which on 9 March last year upheld the assessment order. The ITD had in January 2014 used a two-year-old law to raise a Rs10,247 crore demand on Cairn Energy. Also, a Rs1,594 crore income tax refund was also confiscated. A final assessment order in January 2016 raised tax demand of Rs10,247 crore plus an interest of Rs18,800 crore.

Source: Mint April 15, 2018 08:15 UTC