(a) the details of tax relief available to the foreign companies functioning in India alongwith the governing
rules/conditions thereof;
(b) whether cases of infringement of such rules/conditions by some of these companies have come to the notice of
the government during the last one year;
(c) if so, the details thereof; and
(d) the action taken against such companies?
MINISTER OF THE STATE IN THE MINISTRY OF FINANCE
(SHRI S.S. PALANIMANICKAM)
(a): As far as direct taxes are concerned, the tax relief on the doubly taxed income is available to foreign
companies in accordance with the provision of the Income-tax Act and the Double Taxation Avoidance Agreement,
if any, entered into by the Government with the Government of any other country.
As far as indirect taxes are concerned, there are no specific tax reliefs available only to foreign companies.
(b) to (d): No case of infringement of conditions of grant of tax relief has come to notice.