{"id":36971,"date":"2018-01-28T18:12:16","date_gmt":"2018-01-28T12:42:16","guid":{"rendered":"https:\/\/apnlive.com\/?p=36971"},"modified":"2018-01-28T18:12:51","modified_gmt":"2018-01-28T12:42:51","slug":"corporate-america-urges-fm-arun-jaitley-reduce-tax-uncertainty-mncs","status":"publish","type":"post","link":"https:\/\/apnlive.com\/india-news\/corporate-america-urges-fm-arun-jaitley-reduce-tax-uncertainty-mncs\/","title":{"rendered":"Corporate America urges FM Arun Jaitley to reduce tax uncertainty for MNCs"},"content":{"rendered":"<p>[vc_row][vc_column][vc_column_text]<em>Lauding PM Modi\u2019s efforts to \u201ctransform\u201d the country\u2019s economy, USIBC said India needs to create a more stable fiscal regime to attract more global investors.<\/em><\/p>\n<p>Ahead of Finance Minister Arun Jaitley\u2019s last Union Budget before 2019 lok Sabha elections, corporate America \u2013 citing possibilities of better foreign direct investment to India \u2013 urged Jaitley to further reduce the tax uncertainty for multinational companies and institutional investors.<\/p>\n<p>In a memorandum submitted to the Finance Minister, Nisha Desai Biswal, the president of the US-India Business Council (USIBC) said, \u201cA significant positive step toward improving the investment climate would be to further reduce tax uncertainty for multinational companies and institutional investors in India.\u201d<\/p>\n<p>Stating that scarce capital is allocated to markets offering optimal returns, the USIBC president said global businesses allocate investments where post-tax returns for a given risk profile are highest.<\/p>\n<p>Biswal \u2013 Obama administration&#8217;s point person for South and Central Asia \u2013 further said, \u201cWhen tax costs are uncertain, particularly in a foreign country, investors normally provide for them on a most conservative basis.\u201d<\/p>\n<p>\u201cTherefore, tax uncertainty results in an increase of risk when investing in any given project drives investors to either withhold investments or require a higher rate of return to account for this risk, thus raising the cost of capital in the uncertain market,\u201d she added.<\/p>\n<p>Also lauding Prime Minister Narendra Modi\u2019s efforts to \u201ctransform\u201d the country\u2019s economy and promote India as a global investment destination, USIBC said India needs to create a more stable and predictable fiscal regime and taxation process to attract more global investors.<\/p>\n<p>\u201cUSIBC members believe that unless resolved, the lack of clarity in the government&#8217;s approach to taxation risk will undermine progress in other areas of the economy and will continue to damage India&#8217;s reputation among investors,\u201d mentioned the 39-pages memorandum.<\/p>\n<p>Biswal further added that by rescinding the historical retrospective tax legislation, India would have an opportunity to proceed to a satisfactory resolution of legacy cases, which will help both India and the companies involved.<\/p>\n<p>\u201cTo facilitate cross-border trade and investment without the barrier of double taxation, the Government of India and the US Government should reaffirm the shared commitment to improving tax dispute resolution,\u201d mentioned the memorandum.[\/vc_column_text][\/vc_column][\/vc_row]<\/p>\n","protected":false},"excerpt":{"rendered":"<p>[vc_row][vc_column][vc_column_text]Lauding PM Modi\u2019s efforts to \u201ctransform\u201d the country\u2019s economy, USIBC said India needs to create a more stable fiscal regime to attract more global investors. Ahead of Finance Minister Arun Jaitley\u2019s last Union Budget before 2019 lok Sabha elections, corporate America \u2013 citing possibilities of better foreign direct investment to India \u2013 urged Jaitley to [&hellip;]<\/p>\n","protected":false},"author":4,"featured_media":36973,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_eb_attr":"","footnotes":"","jetpack_publicize_message":"","jetpack_is_tweetstorm":false,"jetpack_publicize_feature_enabled":true},"categories":[1497],"tags":[1778,39717,39718,913,1399,1724,2261,21168],"yst_prominent_words":[39711,39704,39714,39705,39708,39713,39700,4613,39716,39707,39715,39701,39698,39709,39703,39699,39712,39706,39710,39702],"ppma_author":[140543],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"https:\/\/d2r2ijn7njrktv.cloudfront.net\/apnlive\/uploads\/2018\/01\/Jaitley.jpg","jetpack_sharing_enabled":true,"authors":[{"term_id":140543,"user_id":4,"is_guest":0,"slug":"apnnewsdesk","display_name":"APN Live","avatar_url":"https:\/\/secure.gravatar.com\/avatar\/478eacb893eda88aa6ed8d99b005bf58?s=96&r=g"}],"_links":{"self":[{"href":"https:\/\/apnlive.com\/wp-json\/wp\/v2\/posts\/36971"}],"collection":[{"href":"https:\/\/apnlive.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/apnlive.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/apnlive.com\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/apnlive.com\/wp-json\/wp\/v2\/comments?post=36971"}],"version-history":[{"count":0,"href":"https:\/\/apnlive.com\/wp-json\/wp\/v2\/posts\/36971\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/apnlive.com\/wp-json\/wp\/v2\/media\/36973"}],"wp:attachment":[{"href":"https:\/\/apnlive.com\/wp-json\/wp\/v2\/media?parent=36971"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/apnlive.com\/wp-json\/wp\/v2\/categories?post=36971"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/apnlive.com\/wp-json\/wp\/v2\/tags?post=36971"},{"taxonomy":"yst_prominent_words","embeddable":true,"href":"https:\/\/apnlive.com\/wp-json\/wp\/v2\/yst_prominent_words?post=36971"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/apnlive.com\/wp-json\/wp\/v2\/ppma_author?post=36971"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}<!-- html is corrupted -->