Politics
Infosys coded India's tax network, got bill of Rs 33,523 crore
By Andy Mukherjee
Software outsourcing in India took off after the Y2K scare in the late 1990s, channeling a vast pool of cheap engineering talent into programming. And because the industry was making money, it was able to keep most of its profits. The tax bureaucracy in New Delhi couldn’t come up with a plan to cull the goose that laid the golden eggs.
It’s never too late to sharpen knives. Take last week, for example, when Infosys Ltd. was accused of evading India’s goods and services tax (GST) to the tune of Rs 33,523 crore over five years. That’s its annual operating profit. Infosys said on Wednesday that it had paid all that it was legally required to pay, and even investors don’t believe that India’s second-largest software exporter should be facing this alleged liability. Shares of Infosys, the best performer on the benchmark Nifty 50 index over the past three months, fell 2.5% on the news.
The Bengaluru-based company sent another statement late on Thursday, saying the state authority's show cause notice had been withdrawn and it had been directed to submit a response to the GST Intelligence Directorate in New Delhi. In a further update on Saturday, Infosys said the notice for the financial year ended March 2018, covering 12% of the demand, was closed.
I am not a tax expert, but I have read the statements of the federal authorities. They claim that Infosys has imported services from its own international offices, through which it solicits clients from large companies. The coding is done primarily in India, but the foreign branches also provide engineers on-site at clients to execute outsourcing projects in coordination with Bengaluru. These units, the ministry claims, are separate from the head office. And since the Indian company pays their expenses and invoices international clients for them, it is liable to pay GST on the supply of services received from its overseas branches.
Infosys must be ruining the day nine years ago, when it won the Rs 1,676-crore bid from Prime Minister Narendra Modi’s government to write the software for GST, India’s biggest tax reform in decades. Unifying a plethora of subnational taxes had been a long-standing demand of businesses. They wanted the freedom to access a common market of 1.4 billion people without hassle. What was implemented, however, was one of the most complicated GSTs in the world with five rates: zero, 5%, 12%, 18% and 28%, although petroleum products and alcohol continued to be taxed separately. For small businesses, it was a compliance nightmare.
The ill-structured and hastily implemented GST caused heartburn in the accounting community, and Infosys took its share of the blame. The recurring problems were a source of embarrassment for the company, which made matters worse by designing an awkward and error-prone web portal for filing income tax returns. The administration was furious over the recurring technical glitches. A company that had managed to stay largely above the political fray was suddenly being hit from all sides.
|
Sources 2/ https://www.deccanherald.com/opinion/infosys-coded-indias-tax-network-it-got-a-rs-33523-crore-bill-3136988 The mention sources can contact us to remove/changing this article |
What Are The Main Benefits Of Comparing Car Insurance Quotes Online
LOS ANGELES, CA / ACCESSWIRE / June 24, 2020, / Compare-autoinsurance.Org has launched a new blog post that presents the main benefits of comparing multiple car insurance quotes. For more info and free online quotes, please visit https://compare-autoinsurance.Org/the-advantages-of-comparing-prices-with-car-insurance-quotes-online/ The modern society has numerous technological advantages. One important advantage is the speed at which information is sent and received. With the help of the internet, the shopping habits of many persons have drastically changed. The car insurance industry hasn't remained untouched by these changes. On the internet, drivers can compare insurance prices and find out which sellers have the best offers. View photos The advantages of comparing online car insurance quotes are the following: Online quotes can be obtained from anywhere and at any time. Unlike physical insurance agencies, websites don't have a specific schedule and they are available at any time. Drivers that have busy working schedules, can compare quotes from anywhere and at any time, even at midnight. Multiple choices. Almost all insurance providers, no matter if they are well-known brands or just local insurers, have an online presence. Online quotes will allow policyholders the chance to discover multiple insurance companies and check their prices. Drivers are no longer required to get quotes from just a few known insurance companies. Also, local and regional insurers can provide lower insurance rates for the same services. Accurate insurance estimates. Online quotes can only be accurate if the customers provide accurate and real info about their car models and driving history. Lying about past driving incidents can make the price estimates to be lower, but when dealing with an insurance company lying to them is useless. Usually, insurance companies will do research about a potential customer before granting him coverage. Online quotes can be sorted easily. Although drivers are recommended to not choose a policy just based on its price, drivers can easily sort quotes by insurance price. Using brokerage websites will allow drivers to get quotes from multiple insurers, thus making the comparison faster and easier. For additional info, money-saving tips, and free car insurance quotes, visit https://compare-autoinsurance.Org/ Compare-autoinsurance.Org is an online provider of life, home, health, and auto insurance quotes. This website is unique because it does not simply stick to one kind of insurance provider, but brings the clients the best deals from many different online insurance carriers. In this way, clients have access to offers from multiple carriers all in one place: this website. On this site, customers have access to quotes for insurance plans from various agencies, such as local or nationwide agencies, brand names insurance companies, etc. "Online quotes can easily help drivers obtain better car insurance deals. All they have to do is to complete an online form with accurate and real info, then compare prices", said Russell Rabichev, Marketing Director of Internet Marketing Company. CONTACT: Company Name: Internet Marketing CompanyPerson for contact Name: Gurgu CPhone Number: (818) 359-3898Email: [email protected]: https://compare-autoinsurance.Org/ SOURCE: Compare-autoinsurance.Org View source version on accesswire.Com:https://www.Accesswire.Com/595055/What-Are-The-Main-Benefits-Of-Comparing-Car-Insurance-Quotes-Online View photos
to request, modification Contact us at Here or [email protected]
 |
 |
 |
