MTNL is slated to get a tax refund of Rs 12.33 billion

MTNL is slated to get a tax refund of Rs 12.33 billion. The Income Tax Tribunal has directed the Income Tax Department to refund to MTNL the Rs 9.56 billion collected as tax, and interest of Rs 2.77 billion on it. In the telecom sector, the licence fee is treated as a deductible expense. However, in this case, the income tax authorities had imposed a tax on it.