income tax, Income Tax sent a tax notice of Rs 549 crore to Amazon, what is the matter? – income tax department 549 crore penalty on amazon web services, here is the reason

The IT department has sent this notice to Amazon Web Services. The Income Tax department has sent a notice regarding the fees related to cloud computing services. Actually, royalties received from cloud computing services and fees received from technical services come under the ambit of tax. This fee was not paid by Amazon. After which a notice has been issued to him by the Income Tax. According to the news of ET, no penalty of any kind has been added to the payment amount in this notice.

That is, no penalty has been added to the tax amount by the Income Tax Department. This includes only the amount of tax and interest. Earlier in January 2023 also notice was sent to Amazon. Amazon is charging fees for cloud computing services, but taxes are not being paid in return. The Income Tax Department has imposed a tax of 190.85 crores in the financial year 2015 and 358.27 crores for the financial year 2017. This tax is imposed under section 147 of the Income Tax.