Multiple cos facing avoidable litigation, uncertainty: Nasscom after Infosys’ Rs 32400 cr GST demand

After Infosys was slapped with a Rs 32,403 crore GST notice, apex IT body Nasscom on Thursday said the latest tax demand reflects a lack of understanding of the industry’s operating model and sheds light on sector-wide issues wherein multiple companies are facing avoidable litigation and uncertainty.

In a detailed statement issued just a day after Infosys’ BSE filing on GST ‘pre-show cause’ notice of Rs 32,403 crore, Nasscom asserted that government circulars issued based on recommendations of the GST Council must be honoured in enforcement mechanisms so that notices do not create uncertainty and negatively impact perceptions on India’s ease of doing business.