Vedanta Resources Plc said it would file a notice of claim related to a tax demand of about Rs 20,497 crores ($3.29 billion) that its unit Cairn India Ltd received from the Indian government this month.
The notice is the first step required before seeking international arbitration under the UK-India bilateral investment treaty, London-listed Vedanta said on Friday.
Cairn India received the retrospective tax demand in relation to its 2007 listing in India.
($1 = 62.51 rupees)