Income Tax Surveyed Nokia’s Chennai Plant to Check Tax Evasion
Income Tax officials surveyed the Sriperumbudur plant of Nokia in its day-long survey on 8 January 2013 in order to find out the tax evasion, if it existed.
Income Tax officials surveyed the Sriperumbudur plant of Nokia in its day-long survey on 8 January 2013 in order to find out the tax default, if it existed. Globally, this is one of the biggest plants of Nokia.
The plant was surveyed on the grounds of suspicion of tax evasion to somewhere between 2500 crore Rupees to 3000 crore Rupees.
Nokia announced that the company was cooperating with the I-T department completely so that necessary information could be provided in the inquiry. Because Nokia is a global company, therefore it is consistently under the I-T scanner for steady and large numbers of tax queries, assessments as well as audits.
I-T and Vodafone Dispute
Nokia survey by the I-T department came just two days after the I-T sent the reminder to Vodafone, the British telecom major for paying taxes on its capital gains which came from the 11.2 billion dollar offshore pact with Hutchison Whampoa back in 2007. In its reminder letter, the I-T referred to the tax dues amounting to 14000 crore Rupees which also include the interest that it incurred on the delayed payment.
About the Sriperumbudur plant of Nokia
Sriperumbudur plant of Nokia is located around 40 km west off Chennai and it manufactures more than 20 models which also include the latest Nokia Asha devices. The manufacturing plant of Nokia was set up in India in 2006.
At its 210-scre Sriperumbudur plant, Nokia invested more than 300 million dollar. This is said to be the largest production facility of Nokia with a production of more than 500 million units in just six years. 9000 people are employed at this plant out of which 70 percent are women.