Wipro gets tax demand of Rs 816cr

NEW DELHI: India's third largest software firm Wipro has been slapped with an over Rs 816 crore claim by tax department, becoming the latest IT company to have got such a notice after Infosys, WNS and iGate.
The Bangalore-based company said the "draft assessment order" from tax authorities for 2008-09 fiscal has arised primarily due to denial of deduction under section 10A of the Income Tax Act, 1961, in respect of profit earned by its undertaking in the Software Technology Park (STP) at Bangalore."In March 2013, the company received the draft assessment order, on similar grounds as that of earlier years, with a demand of Rs 816.4 crore (including interest of Rs 84.8 crore) for the financial year ended March 31, 2009."The company will file its objections against the said demand before the Dispute Resolution Panel, within the time limit prescribed under the statute," Wipro said in a filing on the USSEC.
When contacted, Wipro in a statement said: "No demand has been received and the assessment process is in progress." The Azim Premji-led company, whose American Depositary Receipts (ADRs) are listed on NYSE, expressed hope that the final outcome of the dispute will be in its favour. agencies