The Department of Telecommunications (DoT) is set to commence the reassessment of Vodafone Idea’s adjusted gross revenue (AGR) dues this week. According to a senior official, the process will begin once the company submits a formal undertaking committing to accept the outcome of the reassessment, whether the final AGR liability increases, decreases, or remains unchanged, as reported by The New Indian Express on January 12, 2026, by Rakesh Kumar.
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Reassessment to Begin After Formal Undertaking
“First Vodafone Idea will have to give undertaking, then we will start the process of reassessment. Once we receive it then the committee to reassess its AGR dues will be formed,” the official was quoted as saying.
The department has already sought this written assurance from the company, and the reassessment will formally begin soon after it is submitted, according to the report.
11 Years of Financial Records Under Review
The reassessment will involve scrutiny of Vodafone Idea’s financial records over the past 11 years, including digital filings, audit reports, and other documentation, to determine the actual AGR liability. The official reportedly noted that the exercise could potentially lead to a significant reduction in principal, interest, and penalties.
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Revised Repayment Plan Extends Till 2041
Last week, Vodafone Idea said in an exchange filing that it will have to pay its AGR dues in instalments until March 2041. Under a DoT-approved repayment plan, the company will pay a maximum of Rs 124 crore annually from March 2026 to March 2031, followed by Rs 100 crore a year between March 2032 and March 2035. The remaining dues will be repaid in equal annual instalments from March 2036 to March 2041. Earlier, the telco was required to pay Rs 18,000 crore by March 2026.
AGR Dues Frozen at Rs 87,695 Crore
The telco said its AGR dues — including principal, interest, penalty, and interest on penalty — for the period FY 2006-07 to FY 2018-19 have been frozen as of December 31, 2025. According to government calculations, the frozen AGR dues amount to around Rs 87,695 crore. The DoT will constitute a committee to reassess the dues, whose decision will be final. The revised amount, if any, will also be repaid in equal instalments during the 2036–2041 period.
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Supreme Court Clears Way for Government Review
The development is expected to provide financial breathing space to Vodafone Idea as it continues its efforts to stabilise operations and improve its financial position, the report said.
The government’s intervention follows Supreme Court judgments on October 27 and November 3, 2025, which noted that there is no legal impediment to the Union Government reconsidering AGR dues. The court also cited larger public interest, highlighting the government’s 49% stake in Vodafone Idea and the welfare of its approximately 20 crore mobile subscribers.
