Monday, March 27, 2017

Apple's India Manufacturing Demands Will Be Looked at After GST Rollout: Sitharaman

Commerce and Industry minister Nirmala Sitharaman on Monday said Amercian 
phone-maker Apple's demand for tax incentives to set up a manufacturing unit in 
the country will have to be looked at after the Goods and Services Tax (GST) is 
rolled out.
"GST will be coming soon. So, tax-related incentives demanded by Apple will 
have to be looked from a different angle," Sitharaman told PTI on the 
sidelines of Chemexcil function in Mumbai.

he government has not accepted most of the demands of the iPhone maker,
 she added.
Apple plans to set up a manufacturing unit in Bengaluru this year, where
 it will assemble its products, probably only iPhone 6 and 6s models,
 according to reports in a section of the media.
The American tech giant has sought various concessions on taxation 
and import of components for setting up the unit.
The Cupertino-based technology giant currently manufactures in
 China and Brazil.
Apart from tax sops, Apple also wants relaxation in the mandated 
30 percent local sourcing of components. Earlier reports had said the 
company would be importing all its components on the grounds 
that it is bringing in cutting-edge technology to the country.
Apple also wants to open a fully-owned retail outlets in the country.
In January, Apple had indicated to the government that it was ready 
with a blueprint to begin manufacturing iPhones, but wants fiscal 
concessions, including Customs duty waiver on imported components.

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