₹363 Crore GST Demand Set Aside
New Delhi, September 7, 2026: Vodafone Idea has received major relief from the Supreme Court in a ₹363 crore GST dispute, after the apex court dismissed the Centre’s appeal against a Bombay High Court ruling that had cancelled the tax demand against the telecom company.
The case relates to the sale of tower assets by Vodafone Mobile to ATC Telecom in 2017. At the time of the transaction, Vodafone Mobile was a separate entity. The company subsequently merged with Vodafone Idea in 2018.
GST authorities had demanded ₹363 crore from Vodafone Mobile in connection with the tower asset transaction. During the proceedings, the Supreme Court questioned how the GST demand could be pursued against an entity that had already merged and no longer existed as a separate company.
The court subsequently dismissed the Centre’s appeal, providing Vodafone Idea relief from the ₹363 crore GST demand in the matter.
The development also supported Vodafone Idea’s shares on Monday. The stock gained around 4 per cent during the session and touched an intraday high of ₹15.68.
The company’s recent financial performance has remained mixed. Vodafone Idea reported a first-quarter loss of ₹3,754 crore, compared with a reported profit of ₹51,970 crore in the previous quarter. However, the earlier quarter’s profit included a one-time income of ₹57,491 crore, making a direct comparison less representative of its underlying business performance.
Revenue increased 3.2 per cent sequentially to ₹11,689 crore, while EBITDA rose 3 per cent to ₹5,034 crore. The EBITDA margin stood at 43.07 per cent, broadly unchanged from 43.14 per cent in the previous quarter.
On a year-on-year basis, revenue increased 6 per cent and EBITDA grew 9.1 per cent.
The company’s stock has also delivered strong gains over recent periods. According to NSE data, Vodafone Idea shares have risen around 22 per cent over the past month and approximately 35 per cent so far this year. Over the past year, the stock has gained around 116 per cent.
The Supreme Court ruling removes the immediate ₹363 crore GST liability in the disputed matter and comes as Vodafone Idea continues to focus on improving its financial performance and operational position.
