India Backs Off Foreigner Tax Udith Sikand
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India has been a tough place for multinationals to make big capital investments. Capricious changes to land, labor and sector-specific regulations have made India a notoriously difficult place to do business. Just this week, the country’s highest court cleared the way for anti-trust action against Amazon and Walmart’s online retail platforms. However, a counter-trend move has been the government backing away from a retrospective tax that has been deployed against foreign investors who used tax-efficient offshore vehicles to buy and sell businesses. Udith Sikand explains what this shift in policy means for foreign direct investment into India.
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