Why foreign cloud firms won't pay taxes in India until 2047
Business
India just rolled out a major tax holiday—foreign cloud service providers won't pay taxes here until 2047 if they serve global customers using Indian data centers.
The catch? To serve Indian users, they'll need to partner with local resellers.
Major boost for data centers, AI infrastructure
This move is set to supercharge investment in India's data centers and AI infrastructure, making the country a bigger player in tech exports.
With perks such as a 15% safe-harbour on cost for related-party data center services and a proposed 15.5% common safe-harbour margin for Information Technology Services to cut down on tax disputes, experts say it'll help startups, boost jobs, and build a stronger ecosystem for everything from AI research to digital businesses.