Big relief to Infosys, govt can withdraw GST notice…
IT sector giant Infosys recently got into a big crisis. It received a GST notice of $ 4 billion (about Rs 33,500 crore). There was a lot of uproar in the IT industry about this. Also, this type of tax demand was also criticized heavily. Due to this, now the central government is considering withdrawing this huge GST notice. If this decision is taken, Infosys will get a big relief.
government can withdraw tax demand
A Reuters report has claimed, citing sources, that the government is now going to withdraw this tax demand made for the year 2017. This notice was sent to Infosys last month. According to the report, the Finance Ministry believes that the notice was sent to Infosys as per the rules. But, this is against the principles of not taxing the export of services. However, the Finance Ministry and Infosys have currently refused to say anything on this matter.
Announcement can be made in the GST Council meeting
Sources have claimed that apart from this, the government can also announce the withdrawal of GST notices worth about $ 1 billion sent to 10 foreign airlines like Etihad and british Airways operating in India. It is believed that an announcement can be made about this after the meeting of the GST Council headed by Finance minister Nirmala Sitharaman and comprising state finance ministers on september 9.
Mohandas Pai had called this notice tax terrorism
Infosys' former board member and CFO Mohandas Pai had called this notice tax terrorism. Last week, the company's Vice President sunil Kumar Dhareshwar had also met the officials regarding this notice. Apart from this, the IT industry body NASSC had also appealed to the government to intervene in this matter. It also called it against the ease of doing business.
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