nokia keen to settle rs 20,000-crore tax dispute without arbitration_2

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Post on 15-Sep-2015

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Nokia

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Nokia, based in Espoo, Finland, sent India an arbitration notice, while highlighting the tax case could create negative sentiment among foreign investors, who have cited cases involving Nokia, Vodafone and Cairn, among others, to view India with suspicion when it comes to policy certainty and clear tax laws. As late as in April 2015, Nokia had sought Prime Minister Narendra Modi's intervention to get the asset freeze on its factory lifted. Now, things seem to have changed. "We have seen the right desire to resolve the issues," French said. The BJP-led government is "proactive in thinking of solutions, recognising it is a very complex situation." Arbitration, besides taking time and being expensive, creates "a lot of noise that is not in the best interest of anybody, particularly when India is looking at focusing on Make in India," French said, underlining India's potential as a manufacturing hub. "Our overall experience in India, setting aside taxation issues, in terms of the quality of people, the infrastructure, has been very good. We would encourage every company to come and manufacture here," he added. "To those who don't because maybe they are nervous about India, because they don't understand India, we will say you should take the plunge and come here."