Thursday, January 22

The Lagaan of the BPO

The government's Central Board of Direct Taxes (CBDT) has introduced a circular aimed at taxation of Business Process Outsourcing (BPO) units in India. This beautiful document is open for interpretations and hence the confusion rules and lawyers will have fun. After Telecom Soap Opera and Unfied License, the fun doesn't end here, government ensures that we keep 'shining' through litigations.However Shantanu Rudra, Chief Financial Officer of Daksh eServices feels that, the new tax on BPO outfits has created confusion, but it is unlikely to affect growth of India's $2.3 billion outsourcing industry.