Vodafone scores a victory in $3 billion tax dispute with India

Vodafone Group Plc. won a crucial victory in a years-long tax dispute with the Indian government, a development that could potentially save the UK wireless carrier almost $3 billion.

An international arbitration tribunal ruled Friday that India’s efforts to claim 200 billion rupees ($2.7 billion) in past taxes were in breach of fair treatment under the bilateral investment protection pact between the south Asian nation and the Netherlands, according to a lawyer representing the company in the case. The tribunal has also asked India to halt its efforts to claim the tax dues. India can appeal.

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