MTNL picks up USD20m tax refund

State-backed operator Mahanagar Telephone Nigam Ltd (MTNL) has received an income tax refund for the 2006-2007 year of INR1.3 billion (USD20.9 million), including INR211.8 million towards interest on the refund, the telco confirmed in a filing with the Bombay Stock Exchange (BSE). The ailing telco registered turnover of INR25.14 billion for the nine months ended 31 December 2014, down from INR25.39 billion in the corresponding period of 2013, although operating losses were down to INR13.33 billion from INR23.86 billion as a result of the government’s decision to shoulder the burden of MTNL’s staff pension payments. Staff benefits, including pension payments had totalled around 120% of the telco’s revenue in the nine months to end-December 2013, compared to 77% a year later.