5/26/2009 12:30:00 PM
Vodafone loses tax case in the UK
Vodafone has lost a UK tax-avoidance case in the Court
of Appeal that could cost it up to £2.2bn.
The appeal relates to tax payment on one of Vodafone’s
subsidiaries. It was brought by HMRC after the network won a High Court ruling
last July and the ruling means HMRC can now go ahead with an inquiry into
Vodafone’s tax returns.
The operator said in its most recent annual report
that it had set aside around £2.2bn for tax liabilities and interest that could
arise from the case.
The company can still apply to the House of Lords to
appeal the decision.