Bombay HC quashes ₹1,524 crore proposed GST demand on Tata Sons in Docomo arbitration payout case

The Bombay High Court on Thursday quashed a ₹1,524 crore GST proposed demand against Tata Sons Pvt Ltd and ruled that payments made to Japanese telecom major NTT Docomo as an arbitration award do not constitute a ‘supply of service’ and are therefore not taxable under the Goods and Services Tax (GST) regime.

The Division Bench of Justice G. S. Kulkarni and Justice Aarti Sathe delivered the judgment, setting aside the show cause notice issued by the Directorate General of GST Intelligence (DGGI).