Is India Planning to Reintroduce Digital Taxes on U.S. Tech Firms?

-
Jai Siya Ram http://www.fxlive.in/ 🔹 Background: What Was Removed In early 2025, India scrapped the 6% Equalisation Levy (aka "Google Tax") and 2% e-commerce levy on foreign tech firms. This move aligned with global tax norms and aimed to resolve trade tensions with the U.S. ⚠️ Why Reinstatement Is Being Discussed Revenue Pressure: India’s digital economy is booming, but tax contributions from global tech giants remain relatively low. Level Playing Field: Indian tech companies face domestic GST, while foreign players often avoid equivalent tax burdens. Geopolitical Leverage: If U.S. firms dominate without fair contribution, India could reintroduce levies to assert fiscal balance and digital sovereignty. 🧭 What’s Likely to Happen? Scenario Probability Details Reintroduction of Similar Levy Medium–High Likely renamed or restructured to comply with OECD rules Targeted Sectoral Taxes Medium May apply only to digital ads, e-commerce or data monetization No Tax Return Until 2026 Low–Medium Unlikely unless under pressure from U.S. or multilateral tax talks 🌐 FXLive View: Be Prepared For U.S. Tech Firms: Prepare for renewed tax compliance costs in India Ad pricing may rise, affecting small Indian businesses and agencies Stock reactions possible for Meta, Alphabet, Amazon if policy changes are announced For Indian Policy Makers: Balance between foreign investment attractiveness and domestic revenue needs Strategic timing ahead of election-year budget announcements possible Regards The Market thinker MCX Commodity + NSE Equity and Forex Market

Comments

Post a Comment

Popular posts from this blog

Article - Major US Companies Declare to Shift Operations to India

-
Jai Siya Ram http://www.fxlive.in/  "Major US Companies Declare to Shift Operations to India" There is a major, ongoing trend of US companies shifting and expanding operations to India, driven by a combination of factors including geopolitical tensions, the need for supply chain diversification ("China Plus One" strategy), and Indian government incentives. The shift is particularly significant in the Electronics/Tech Manufacturing and High-Value Services/R&D (Global Capability Centers - GCCs) sectors. Here are the full details on the major companies and the nature of the shift: 1. Electronics and Manufacturing Shift (Supply Chain Diversification) The most visible shift is in electronics manufacturing, largely driven by the goal of moving production away from China to mitigate risks from trade tariffs and geopolitical instability. Major Company: Apple Nature of Shift: Apple and its key contract manufacturers (Foxconn, Pegatron, Wistron/Tata Electronics) are ag...
http://commoditymarket2008.blogspot.in/

Article General Knowledge - What is Stock Market & How they Run

-
 www.fxlive.in "Article General Knowledge - What is Stock Market & How it's Run" 📊 What is the Stock Market? The stock market is like a big online marketplace where people buy and sell shares (ownership units) of companies. When you buy a share , you own a small part of that company . If the company does well, your share value goes up (and you can make money). If the company performs badly, the share value may fall (and you lose money). 🏦 How It Works Companies Need Money Suppose a company like Infosys wants to expand. Instead of only taking loans, it can raise money by selling shares to the public. When they do this for the first time, it’s called an IPO (Initial Public Offering) . Investors Buy & Sell Shares After IPO, shares are traded daily in the stock market between investors (not directly with the company). Prices move up and down based on demand, supply, company performance, economy, news, and global events . Stock E...
http://commoditymarket2008.blogspot.in/

Article - A massive, large-scale Russian aerial attack on Ukrain

-
Jai Siya Ram  http://www.fxlive.in/  "Article - A massive, large-scale Russian aerial attack on Ukrain" A massive, large-scale Russian aerial attack occurred overnight into Sunday, October 5, 2025 , targeting multiple regions across Ukraine. Ukrainian President Volodymyr Zelenskyy reported that Russia launched over 50 missiles and around 500 attack drones across nine regions . Here are the full details of the attack: Casualties and Key Impacted Regions Fatalities and Injuries: At least five civilians were killed and numerous others were injured across the country. Lviv Region (Western Ukraine): This region, including the city of Lviv, suffered its largest aerial assault since the start of the full-scale invasion. Four people were killed , including a 15-year-old, in a combined drone and missile strike that hit residential areas. A business complex (civilian facility) on the outskirts of Lviv caught fire. The strike caused power outages in two districts and temporarily ...
http://commoditymarket2008.blogspot.in/