Latest Expert Exchange Queries

GST Demo Service software link: https://ims.go2customer.com
Username: demouser Password: demopass
Get your inventory and invoicing software GST Ready from Binarysoft info@binarysoft.com
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) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
 
 
 
 
Popular Search: TDS :: list of goods taxed at 4% :: ACCOUNTING STANDARDS :: cpt :: Central Excise rule to resale the machines to a new company :: articles on VAT and GST in India :: ARTICLES ON INPUT TAX CREDIT IN VAT :: VAT RATES :: TAX RATES - GOODS TAXABLE @ 4% :: due date for vat payment :: empanelment :: ACCOUNTING STANDARD :: form 3cd :: VAT Audit :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes
 
 
« General »
 Fall in tax collection compounds crisis
 Govt sets up task force to review income tax laws
 Tax queries: Contact employer to get Form 16 error rectified
 Finance Ministry may hike monetary limit for filing tax appeals
 Compilation of all notifications issued ON
 Banking transaction tax to have cascading effect: NIPFP
 While filing tax in India, NRIs do not have to state overseas income
 Tax ease on cards, some daily use items may become cheaper
 It’s one year of GSTN, too
 SBI home, auto loan interest rates cut, set to be effective from Nov 1
 MNCs will have to furnish extra disclosures from March 2018

Delhi High Court to issue verdict on Nokia India tax dispute on Thursday
December, 12th 2013

A court ruling expected on Thursday could determine whether Nokia will be free to transfer a phone-making factory to Microsoft or pay as much as $3.4 billion in disputed taxes.

The Chennai plant is one of Nokia's biggest phone-making factories and was seized by authorities because of tax claims. Nokia appealed the seizure and has been trying to end the dispute ahead of the sale of its mobile phone business to Microsoft in a 5.4 billion euro deal.

Nokia has said it wanted the factory seizure to be lifted by December 12 for the planned transfer of the business to Microsoft.

Nokia's case is one of several tax disputes involving foreign companies in India, which has stepped up its pursuit of claims against such firms as it seeks to rein in its budget deficit.
Companies recently involved in tax disputes in India include IBM, Royal Dutch Shell, Vodafone Plc and LG Electronics Inc.

In March, Nokia was served with a tax demand of about 20.8 billion rupees for five fiscal years starting from 2006-07, according to a March 22 notice on the Delhi High Court website.

Including the anticipated liability, or the tax bill for the years that have not been assessed by the authorities, the total liability could rise to roughly 75 billion rupees, said Mohan Parasaran, who is representing the tax department.

If Nokia loses the legal battle, it may have to pay as much as 210 billion rupees, which includes penalties and interest, Parasaran said. He declined to give additional details.

The penalty for non-payment of tax as per local rules can be as high as up to three times the amount owed, tax experts said.

Nokia has said it had not been served with any claim beyond the 20.8 billion rupee amount.
Nokia has said it does not expect the tax dispute to affect its deal with Microsoft, which is likely to close in the first quarter of 2014, but a lengthy asset freeze could complicate matters by preventing the transfer of the Chennai plant.

Nokia did not have an immediate comment on Wednesday.

Contract manufacturing
If the asset freeze continues, Nokia could operate the plant as a contract manufacturer for Microsoft, but it would be a distraction for the Finnish company's plans to focus on growing its network equipment business.

It would also likely be temporary and Nokia could eventually shut it down, depriving Microsoft of a crucial production site in India. Nokia has invested more than $330 million in Chennai since setting up the factory in 2006.

Nokia said earlier this week that it recently offered to pay a 270 million euro deposit to Indian authorities, on top of an earlier agreement to pay around 85 million euros, to unfreeze assets including the Chennai plant.

The factory has about 7,000 staff and the Delhi High Court said on Wednesday it would protect the interests of the workers.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - We Bring IT. Offshore software outsourcing company. We use Global Delivery Model (GDM) and believe in Follow The Sun principle

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