C&W settles T-Mobile tax bill

26 Mar 2003

UK operator Cable & Wireless (C&W) has come to an agreement with the country’s tax revenue body, the Inland Revenue, to settle its outstanding tax liability from the sale of its holding in cellco One2One (now T-Mobile) to Deutsche Telekom (DT) in October 1999. C&W announced in January that it had set aside GBP1.5 billion to cover its obligation in a tax indemnity given to DT at the time of the disposal. It is due to pay the Inland Revenue GBP380 million to cover corporate taxes for ten years ended 31 March 2001.