Vodafone Idea to clear pending license fees by April 15 with interest

Telecom service provider Vodafone Idea Limited in a regulatory filing earlier today said that it would clear any pending payment of license fee on April 15 with interest. The company in its filing said that payment of license fee was a regular quarterly exercise based on self-calculation of revenue for each quarter. The payment is generally made on the 15th day of the month following the quarter-end.

VIL further added that in the fourth quarter the estimated payment is required by March 25. The license however also allows the payment to made by 15th April with interest. The company will pay up the extent of payment not made on March 25 by April 15 with interest and respond to DoT’s show-cause notice with suitable clarification.

“In this regard, we wish to submit that payment of license fee is a regular quarterly exercise based on self-calculation of revenue for each quarter. Generally, the payment is made on the 15th day of the month following the quarter-end, but in the fourth quarter, an estimated payment is required by March 25. However, the license also allows the payment to be made with interest on 15th April. To the extent of any payment not made on March 25, will be paid on April 15 with interest. We will be sending suitable clarification to DoT concerning the said show-cause notice,” said Vodafone Idea Limited in a BSE filing.

As per media reports, DoT is believed to have issued a show cause notice to VIL for non-payment of license fees for Q4 FY 21 in seven telecom circles namely Bihar, Gujarat, Jammu & Kashmir, Kerala, Maharashtra, Uttar Pradesh (East) and Orissa along with national long distance. BSE had on the weekend sought a clarification from VIL on the matter which has been answered by VIL earlier this afternoon.