Vodafone Idea Shares Fall After ₹83 Crore GST Penalty; Telecom Operator Mulls Legal Action Against Order

Vodafone Idea (Vi) shares slipped 0.58% to ₹11.95 today, down from the previous close of ₹12.02. The decline comes after the company disclosed receiving two GST penalty orders from authorities in Mumbai and Bengaluru, with a combined potential liability exceeding ₹83 crore. The Deputy Commissioner of State Tax, Andheri Division, Mumbai, has passed an order confirming a penalty of Rs 79.56 crore, along with applicable tax demand and interest. The order, received on December 24, 2025, relates to an alleged additional demand on licence fees and spectrum usage charges for FY 2018–19.Vodafone Idea said the maximum financial impact would be limited to the tax demand, interest, and penalties levied. The company added that it does not agree with the orders and will take appropriate legal action for rectification or reversal.

The company’s shares have continued to gain traction on Dalal Street in recent months, rebounding nearly 100% from August lows to ₹12 apiece, as sentiment toward the telecom major improved following better-than-expected September-quarter results. Reports of further tariff hikes next year, along with the Supreme Court allowing the government to consider full relief on Vodafone Idea’s dues, have also supported the ongoing rally. For the September-ending quarter (Q2FY26), the company reported a net loss of ₹5,524.2 crore, lower than the net loss of ₹7,176 crore recorded in the same period last year. Sequentially, the net loss also narrowed from ₹6,608 crore reported in the preceding June quarter. Last week, the company raised 3,300 crore through its subsidiary by issuing secured non-convertible debentures (NCDs), which are expected to support the company’s capital expenditure programme and business growth. The stock is now  trading above its FPO price of ₹11.