Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: empanelment :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: Central Excise rule to resale the machines to a new company :: cpt :: TAX RATES - GOODS TAXABLE @ 4% :: ACCOUNTING STANDARD :: VAT RATES :: articles on VAT and GST in India :: ARTICLES ON INPUT TAX CREDIT IN VAT :: form 3cd :: VAT Audit :: due date for vat payment :: TDS :: list of goods taxed at 4% :: ACCOUNTING STANDARDS
 
 
General »
  Withdrawal of Legal Tender Character of the existing Bank Notes in the denominations of ₹ 500/- and ₹ 1000/- (Updated as on November 30, 2016)
 Cases for tax scrutiny will be selected by machines
 Time to revisit 1997 direct tax rates, says P Chidambaram
 Lok Sabha passes Bill to tax black money deposits post demonetisation
 Last day to pay property tax with old notes
 Income tax department asks IDS declarants to pay tax by 30 November
 Why PM Narendra Modi must beware of the breathtaking Arthakranti tax
 Japanese firms seek easing of restrictions on funding in India
 Tax on black money: How the cookie will crumble
 Income tax officials say raids on jewellers based on 'credible intelligence' proving fruitful
 Exchange window being misused, government forced to reduce limit to Rs 2000, says Arun Jaitley

IBM says will 'aggressively' contest India tax demand
November, 07th 2013

The local unit of US technology services giant IBM said Wednesday it will "aggressively defend itself" through legal means against an Indian tax demand for a reported $865 million.

The Indian unit of IBM declined to say how much tax authorities were seeking, but local media have said the company has been told to pay 54 billion rupees ($865 million) in arrears for allegedly under-reporting its 2008-2009 earnings.

"IBM does not agree with the tax department's claims and will aggressively defend itself through the appropriate judicial process," an IBM India spokeswoman told AFP.

The case is the latest pitting a multinational against Indian income tax authorities, and comes as the country has been seeking to portray itself as more investor-friendly to draw much-needed foreign investment.

India is locked in tax battles with Vodafone, Nokia and Royal Dutch Shell, among other international companies.

The tax department alleges that New York-based IBM did not fully report its Indian export earnings, according to media reports. A spokesman for the tax department would not immediately comment.

IBM, whose operations in India span global business services, technology and software, denied any wrongdoing.

"Fundamental to IBM's culture and business model is that we act with integrity wherever we do business," the spokeswoman said in an emailed statement.

The Mumbai newspaper DNA reported that tax authorities were combing IBM India's tax returns back to the financial year 2000-2001 for possible irregularities.

Information technology services companies in India normally receive tax exemptions on profits earned from the export of software and related services from facilities in so-called software technology parks and special economic zones.

But due to differences in the way tax rules have been interpreted, there has been a string of disputes. The tax department in many instances has denied claims by the IT companies for exemptions.

IBM, one of the biggest technology employers in India with an estimated workforce of around 150,000 people, uses the country as a base for its global services delivery.

India is also a vast market for the company, which generates around $3 billion in annual revenue from the country. Nearly half comes from domestic operations and the other half from exports and other sources, according to industry estimates.

IBM does not give country breakdowns of its revenues.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2016 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Content Management System developers CMS developers Content Management Solutions CMS Solutions CMS India Content Management System India CMS development India Website CMS Website Content Management India Portal CMS India CMS Outsourcing CMS Vendor Complete CMS Custom CMS Services

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions