India's IT giant, Infosys, finds itself under the intense scrutiny of tax authorities due to allegations of massive GST (Goods and Services Tax) evasion amounting to a staggering ₹32,000 crore. This revelation has sent shockwaves through the corporate world and raised questions about tax compliance practices in the IT sector. The Allegations The Directorate General of GST Intelligence (DGGI), the investigative arm of the Central Board of Indirect Taxes and Customs (CBIC), has issued a show-cause notice to Infosys for alleged non-payment of Integrated Goods and Services Tax (IGST) on services availed from its overseas branches. The alleged evasion reportedly occurred over a five-year period, starting in July 2017 and continuing until 2021-22. The DGGI contends that Infosys made payments to its foreign branches, classifying these as expenses. However, under the Reverse Charge Mechanism (RCM), the company was allegedly liable to pay IGST on these transactions. The tax document reveals...
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