DAWN.COM

Today's Paper | December 25, 2024

Published 03 Nov, 2013 07:48am

India asks IBM to pay $866m

MUMBAI, Nov 2: Indian tax authorities have asked IBM’s Indian unit to pay 53.57 billion rupees ($866.20 million) in outstanding income tax on fiscal 2009 revenue, media reported on Saturday.

In an emailed statement, an IBM India spokeswoman confirmed the company had received a tax notice, but declined to comment on the amount of tax liability or the nature of the notice.

“IBM does not agree with the tax department’s claims and will aggressively defend itself through the appropriate judicial process,” the IBM India spokeswoman said.

IBM has been locked in a tax dispute with authorities related to its 2009 reporting year income, media have reported previously.

In its latest 10-Q filed with the US Securities and Exchange Commission (SEC), IBM said it had recorded $394m in prepaid income tax in India “at” Sept 30, 2013. IBM said a “significant portion” of that amount was paid in order to reserve its right to appeal previous tax assessments in India, which it said it expects to win in appeal.—Reuters

Read Comments

Scientists observe ‘negative time’ in quantum experiments Next Story