One of India's largest tech companies, Infosys, is said to have avoided paying GST taxes totalling an astounding Rs. 32,403.46 crore over a span of five years. Infosys received letters from the Bengaluru Directorate General office about their alleged GST infraction. A study claims that from 2017–18 to 2021–22, Infosys failed to pay the Integrated Goods and services Tax (IGST) on services obtained from its foreign affiliates. In response, Infosys referred to the notification as a "pre-show cause" and stated that it thought the costs listed were exempt from GST.

Infosys stated in a stock exchange statement that it is now working on a response to the letter that the Directorate General office sent. Additionally, Infosys said that services provided to the indian firm by its foreign branch will not be subject to GST in accordance with the most recent circular (June 26, 2024) published by the Central Board of Indirect Taxes and Customs based on the recommendations of the GST Council.

The business also mentioned that when exporting IT services, GST payments are refundable or creditable. The corporation claimed that it complied with all indian government requirements by paying all of its GST obligations. In the meanwhile, DGGI has not yet replied to Infosys's stock exchange submission.
 
 
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G GOWTHAM

03/08/2024 08:41 AM