Industry wish-list -
* Tax reimbursement and employment linked benefits.
* TDS for technical services provided in domestic market be reduced from 10% to 2%
Our expectation - May not happen
Rationale for our expectation - Revenue considerations may not allow this to happen
Impact of our expectation - Neutral
Industry wish-list - More clarity on this issue for shrinkwrapped software and standard offthe- shelf software
Our expectation - May be provided
Rationale for our expectation - Uncertainty / litigation relating to witholding tax is an irritant for the industry
Impact of our expectation - Positive
Industry wish-list - Simplification of refunds process in case of inadequate set-offs
Our expectation - May happen
Rationale for our expectation - Expected to lead to faster refunds and better compliance
Impact of our expectation - Marginally positive
Industry wish-list -
* Treat software as service (and not goods) so as to avoid double taxation from centre and states
* Currently there is no clarity
Our expectation - May not happen
Rationale for our expectation - Treating software as 'service' will deprive states of revenues
Impact of our expectation - Neutral
Industry wish-list - Clarity on taxation of on-site income
Our expectation - May happen
Rationale for our expectation - Uncertainty relating to tax liability is an irritant for the industry
Impact of our expectation - Positive
Industry wish-list - Three-pronged approach to clear backlog and provide certainty for future 'Transfer pricing' issues
Our expectation - May happen
Rationale for our expectation - Uncertainty / litigation relating to transfer pricing is an irritant for the industry
Impact of our expectation - Positive
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