Home About Chat Users Issues Party Candidates Polling Firms Media News Polls Calendar Key Races United States President Senate House Governors International

New User Account
"A comprehensive, collaborative elections resource." 
Email: Password:

  Obama’s Plan on Corporate Taxes Unnerves the Indian Outsourcing Industry
NEWS DETAILS
Parent(s) Issue 
ContributorJason 
Last EditedJason  May 06, 2009 04:12am
Logged 1 [Older]
CategoryGeneral
MediaNewspaper - New York Times
News DateTuesday, May 5, 2009 10:00:00 AM UTC0:0
DescriptionNEW DELHI — President Obama’s proposal to change the American corporate tax system is winning few fans in India, where some say it is aimed at curbing the country’s outsourcing industry.

Perhaps that is because Mr. Obama specifically struck out at the epicenter of Indian outsourcing.

The president vowed Monday to overhaul a tax code that allowed companies to pay less tax, as he put it, to “create a job in Bangalore, India, than if you create one in Buffalo, New York.” One element to that change could be the elimination of a deduction for American companies when they invest in subsidiaries outside the United States.

American companies have tens of thousands of employees in India in wholly owned subsidiaries. Many of these Indian operations handle customer service and back-office functions, particularly for banks and credit card companies. American businesses employ thousands more in India by contracting work to local technology and outsourcing companies.
Share
ArticleRead Full Article

NEWS
Date Category Headline Article Contributor

DISCUSSION