Contract manufacturer Flex has moved the Supreme Court seeking to quash a Tax Tribunal ruling in Xiaomi’s royalty tax dispute. Xiaomi faces a 72 million dollar alleged unpaid tax demand, challenging it in a case crucial to India’s contract manufacturing framework.
The Supreme Court of India has temporarily halted Karnataka’s demand for Rs. 317.5 crore VAT from Antrix Corporation regarding satellite transponder leases. The dispute hinges on whether the lease constitutes a sale of goods or a service. The Court will further examine the case in August.
