India’s IT sector nervous as US proposes outsourcing tax
BENGALURU, Sept 11 (Reuters) – 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. The sector is likely to be on the receiving end of a bill which, though unlikely to pass in its nascent form, will initiate a gradual shift in how big-name firms in the world’s largest outsourcing market buy IT services, they said. Get the latest news from India and how it matters to the world with the Reuters India File