Tech giant Apple is seeking huge tax exemptions from Indian government for setting an assembly plant in the country and New Delhi is seriously considering the same, a top official from the Indian Government said on Thursday.
Earlier this year, the then Commerce and Industry Minister Nirmala Sitharaman had informed the Indian assembly that Cupertino based tech giant had sought tax incentives on range of things, including on manufacturing and repair units, components & capital equipment’s for period of 15 years. Besides, several media reports claim that Apple has also demanded exception from mandatory rule that compels manufacturers to source 30% of components from local traders.
Separately, the tech giant is demanding green signal to start its own retail stores in India, where it is currently sells Iphones and other popular tech gadgets through re-sellers. Interestingly enough, today Apple’s competitors Oppo got clearance to setup its own retail stores in India.
However, Apple is not the only multinational giant that is demanding tax exemptions from Indian government. Recently Tesla, an electric car major based in Palo Alto, demanded similar tax incentives for seeking enter into the Indian auto market.
Apple’s push for setting up a manufacturing plant in Indian gathered intensity, after CEO Tim Cook visited India last year, when he met Prime Minister Narendra Modi and host of other top officials from the Indian government.
Experts claim that any tax incentives to any big companies will come only in the lieu of promise to generate huge employment opportunities in the long run.