India's IT sector nervous as US proposes outsourcing tax

India's IT Sector Nervous As US Proposes 25% Outsourcing Tax

A US Republican Senator has introduced the HIRE Act, which proposes taxing companies that hire foreign workers over Americans.

India's IT sector nervous as US proposes outsourcing tax

India's massive IT sector faces a lengthy period of uncertainty with customers delaying or re-negotiating contracts while the U.S. debates a proposed 25% tax on American firms using foreign outsourcing services, analysts and lawyers said.

US HIRE Act proposal may hurt Indian IT firms if passed - Connected to India News I Singapore l UAE l UK l USA l NRI

US HIRE Act proposal may hurt Indian IT firms. Photo: Unsplash A new US legislative proposal, which is aimed at curbing outsourcing, is expected to affect the Indian information technology sector if passed in the upcoming days. Senator Bernie Moreno from Ohio introduced the Halting International Relocation of Employment (HIRE) Act, which seeks to discourage American companies from hiring foreign workers. The legislation will impose a tax on any …

India’s IT sector faces uncertainty as US proposes 25 per cent outsourcing tax

INDIA’s IT sector is facing uncertainty as US lawmakers consider a 25 per cent tax on companies using foreign outsourcing services. Analysts and lawyers said the proposal has led to customers delaying or re-negotiating contracts, raising concerns in India, the world’s largest outsourcing hub.They said the bill is unlikely to pass in its current form but could trigger long-term changes in how American firms purchase IT services. Companies heavily…

Proposed U.S. Outsourcing Tax Puts India’s $283 Billion IT Sector on Edge

India’s $283 billion IT sector faces mounting uncertainty as the United States considers a 25% tax on outsourcing under the newly proposed HIRE Act. Introduced by Republican Senator Bernie Moreno, the bill aims to penalize companies hiring foreign workers over Americans and prevent outsourcing costs from being claimed as tax-deductible. If enforced, combined federal, state, and local taxes could push levies on outsourced payments as high as 60%,…

US considers new outsourcing tax, targeting Indian IT sector: report

The ‘The Halting International Relocation of Employment Act’ Bill that Republican senator Bernie Moreno introduced in the US senate on Saturday, if it becomes law, could turn outsourcing jobs expensive for American companies