Chidambaram confident about resolving Vodafone tax dispute: report

Finance Minister Palaniappan Chidambaram said he is confident that a $2.6 billion (Rs 13,938.75 crore) tax dispute with Vodafone would be settled, telling the Financial Times that a third round of talks will be held this week.

"Vodafone has formally written to the government offering to engage senior government officials to find a way out of the problem," he said in an interview with the Financial Times.

"I'm confident we will resolve the Vodafone issue," he told the newspaper.

Mr Chidambaram said he was seeking to resolve the outstanding tax matter within the month.

Vodafone declined to comment on the FT report.

An unnamed figure close to the company told the FT that the finance minister was playing up the possibility of a deal.

On January 14, Mr Chidambaram had announced that the government would delay the implementation of controversial rules on tax avoidance, GAAR, by two years to 2016 seen as a move partly designed to help solve the dispute with Vodafone.

Copyright @ Thomson Reuters 2013