Companies must meet some difficult challenges to remain compliant with India’s tax regime. The separate federal and state tax regulations, the aggressive attitude of tax authorities and the tendency for disputes to result in litigation all require close attention from taxpayers. Joe Dalton finds out how Indian tax directors meet these challenges and what the best structure for an Indian tax department is.
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On 2 October 2026, the Federal Tax Authority published Public Clarification TAXP010, “Free Zones and Designated Zones for Tax Purposes”. The clarification is useful for a number of reasons, but one point is particularly interesting for the Corporate Tax treatment of distribution activities: what exactly is the geographical area that qualifies as a “Designated Zone” for Corporate Tax purposes?
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