The OECD/G20 Inclusive Framework on base erosion and profit shifting (BEPS) issued a statement on a “Two Pillar Solution to Address the Tax Challenges Arising from the Digitisation of the Economy”. The statement has been agreed to by 136 countries representing 90 percent of the global GDP.
Against this background, Economic Laws Practice (ELP)’s Stella Joseph (Partner) has authored an article titled ‘OECD/G20 framework on global tax: What does it mean for India?’ for CNBC TV18 . In her article, Stella discusses how withdrawal of “all digital services taxes and other such similar measures”, for India, would mean withdrawing the equalisation levy by 2023, which has been yielding the government nearly INR 4,000 crore, with significant growth potential in the future. The article also analyzes what the framework entails for developing nations. It also discusses whether this framework would be a sustainable solution for developing countries in the short, medium, or long run. Additionally, the article highlights several key areas which are yet to be addressed.
Read the detailed article here: https://bit.ly/3op5wxk