Forbes and Forbes Asia have given considerable attention to the remarkable story of India’s economic emergence. With this issue we mark the launch of a well-deserved, dedicated India edition and are excited to be working with one of India’s leading media groups, Network18, as
our partner.
One of India’s most important business contributions has been its huge success in outsourcing, now a $60 billion-a-year business. India’s outsourcers have helped lower costs and raise efficiencies at dozens, if not hundreds, of companies worldwide, as well as made billionaires of far-sighted entrepreneurs such as Azim Premji of Wipro.
(This story appears in the 05 June, 2009 issue of Forbes India. To visit our Archives, click here.)
It is an excellent post Steve. It is not just the basic corporate tax rate that has increased the burden for corporate India, but the "add-ons", such as Fringe Benefit Tax, or the cascading impact of dividend distribution tax (credit is availble only in a single tier structure), which is not always possible in today"s business environment. <br /> On one hand, the government provides incentives - such as for setting up in an STPI and on the other, puts such companies on the MAT!<br /> Worst hit are companies which want to expand operations overseas. While dividend declared by a domestic Indian company is tax free in the hands of all shareholders (whether Indian or foreign), foreign dividend repatriated back to India from its overseas subsidiary attracts the high corporate tax rate. <br /> UK and Japan do not tax foreign dividend which is reptriated back in the home country, it is time for India to follow suit. <br /> Opening up the education sector to foreign investment would be of great help. As regards infrastructure, public private partnerships appear to be the ideal way forward.<br /> Apologies for a long winded post on taxes, but you just touched a nerve there with this excellent insightful post.<br /> I am sure Forbes India will rock!<br /> Best,
on May 22, 2009nice 2 hear
on May 21, 2009