Samsung India under Income Tax Scanner


Samsung Electronics India – a wholly owned subsidiary of Samsung Electronics Co. Ltd. has been issued a show-cause notice by the Indian Income Tax department. The notice claims Samsung has not deducted TDS (tax deducted at source) while sending payments to its parent company, thus resulting in loss of taxes of Rs. 1,139.21 crore for assessment year 2006-07.

Although Samsung India does not acknowledge the receipt of the official notice, Live Mint claims to have read the notice and say Samsung will have to respond by April 14 as to why they shouldn’t be treated as “assessee in default.”

The Indian Income Tax department recently served a notice to Nokia, claiming about Rs. 2,000 crore for non-payment of taxes.