I-T finds 'prima facie defaults' by Nokia in TDS deductions
Quotes

I-T finds 'prima facie defaults' by Nokia in TDS deductions

Last Updated: Wednesday, January 9, 2013, 21:53
 
 Comment 0
 
I-T finds 'prima facie defaults' by Nokia in TDS deductions
Chennai: The Income Tax department on Wednesday said it has found prima facie defaults by Finnish handset maker Nokia's plant here in TDS deductions on royalty payments made to its parent company.

During searches conducted by the department at the Nokia's Sriperumpudur factory on Tuesday, it was also observed that the company had changed its accounting model and also was in the process of reorganising the existing business model to bypass certain direct and indirect tax liabilities.

"Some more clarifications have been sought from the executives of the company," an I-T release said.

The department seized "some important" evidence having a bearing on the tax implications of the company, it said but added further investigation was required before reaching final conclusion on the tax liability.

"It has been gathered during the survey operations that Nokia India has been making remittances to its parent company Nokia OY as payments for software supplies since 2005. The above payments for software would attract TDS as per the provisions of the Income Tax Act 1961", it said.

"But it is learnt that the assessee company has not made any TDS on the above software payments", it said.

Nokia India had said on Wednesday that it was fully cooperating with the IT department to ensure officials get the necessary information.

PTI



First Published: Wednesday, January 9, 2013, 21:53


Comments


comments powered by Disqus
PM Narendra Modi in France
PM Narendra Modi in France
PM Modi`s Make in India push in Germany
PM Modi`s Make in India push in Germany
Renault Lodgy MPV
Renault Lodgy MPV
Apple Watch: Worldwide preview
Apple Watch: Worldwide preview
2015 New York Auto Show
2015 New York Auto Show

Web Wrap
Contact Us : Privacy Policy : Legal Disclaimer
Copyright © Zee Media Corporation Ltd. All rights reserved