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AI News from ET - 'Indian income tax sleuths have no way to tax digital value loop'

Vishwadeep Khatri
in AI News & Two Lenses

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Indian tax authorities face growing revenue losses as AI firms generate income from Indian developers without a physical presence, bypassing tax obligations. The current tax framework struggles with emerging software business models, renewing discussions on 'nexus' and the taxation of cross-border digital services. India is actively involved in UN efforts to develop a new framework for taxing digital services.

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