India seeks to tax Netflix’s income from streaming services in the country: Report

India is seeking to tax Netflix Inc’s income earned from streaming services in the country, the Economic Times reported on Friday, citing people familiar with the matter.

In a draft order, the tax authorities attributed an income of about 550 million rupees to Netflix’s Indian permanent establishment (PE) in the assessment year 2021-22, the report added.

Tax officials reasoned that the U.S. firm had some employees and infrastructure from the parent entity on secondment in India to support its streaming services, leading to a PE and tax liability, the publication reported.