Nokia Tax Settlement

India and Finland have reached an accord on the tax dispute with Nokia under the Mutual Agreement Procedure (MAP), clearing the way for the sale of the company’s Chennai plant, which has been idle for more than four years. This involves a payment of Rs 1,600 cr to the Indian government by Nokia.But, way back in 2013, the demand was of the order of Rs 8,100 cr to Rs 21,153 cr, depending upon whether penalty was to be included or excluded, and TDS on certain payments was payable or not payable.