The interrogation of Price Waterhouse and Company officials by the Income-Tax Department in connection with the Nokia’s Rs 2,500-crore tax default case is almost over.
The investigation wing of the department will now start interrogating Nokia officials.
Nokia India Managing Director P. Balaji visited the department this morning, said a senior department official on condition of anonymity.
Price Waterhouse is the auditor for Nokia. Two officials of the audit firm were questioned today and two more are to be interrogated tomorrow on their role in tax evasion.
The investigation of Nokia officials is likely to go on for a couple of days, he said.
According to the department, in the last six years, Nokia’s Indian subsidiary has been downloading software from its parent firm in Finland to manufacture mobile handsets worth Rs 25,000 crore from the Sriperumbudur plant.
Royalty is paid for this software, and this in turn attracts a 10 per cent tax deduction at source, which is worth Rs 2,500 crore, and was not paid by Nokia to the department.
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.