finmin rejects apple demands on tax; firm\'s mfg line this yr
The Ministry of Finance has rejected the iPhone maker Apple\'s tax exemption requirement to set up a manufacturing department in India, saying the decision will be made by the goods and services tax commission. The US-
The India-based company said it plans to build production lines in India this year.
For 15 years, Apple has been looking for concessions such as tax exemption for smart phone manufacturing and repair equipment, components, capital equipment, and state minister of electronics and it p. chaudhary, said in a written reply to Lok Sabha.
The requirements, he said, were \"reviewed at the Tax Office but not accepted \".
He said that these incentives cannot be accepted as the new indirect tax system comes into effect, \"all imports will be responsible for IGST (integrated GST)
And any exemption from CGST (centre)/SGST (state)
/IGST can only be approved on the recommendation of the GST Council \".
He added that the GST Council will also review all existing countervailing tax exemptions.
India will introduce GST from July 1, which will include all indirect taxes at the National and central levels.
It has been touted as India\'s biggest tax reform since independence, aiming to make India a \"one country, one tax\" market.
No exemption from basic tariffs (BCD)
Countervailing duty (CVD)
And special additional tariffs (SAD)
He said parts were imported for the repair of mobile phones.
The manufacture of mobile phone parts and sub-parts provides zero BCD, CVD and sadness, says Chaudhary.
However, at 2017-
On the 18 th, he said, the preferential price for the manufacture of mobile phones by densely populated printed circuit boards was 2%.
Chaudhary said that from 2004, the specific capital goods needed to make a mobile phone have been exempted from the BCD.
Meanwhile, the Commerce and Industry Minister, simala Sitharaman, said in a written reply to Rajya Sabha that Apple had indicated plans to lay production lines this year.
\"Apple said in their communications that they planned to selectively introduce production lines in the spring of 2017,\" said Sitharaman . \".
As sales in the United States and China dwindle, Apple is targeting India ---the fastest-
Growing global smartphone market-
And hope to establish a local manufacturing department to reduce costs.
However, it does not make the equipment by itself, but by contract manufacturers.
The company sells products through Apple
It has retail stores in China, Germany, the United States, the United Kingdom and France.
It\'s not completely-
Own a store in India and sell its products through dealers like Redington and Ingram Micro. (
This article has not been edited by the DNA editing team and is automatically edited
Generated from the proxy feed. )