In connection with an inquiry that commenced in 2021, authorities have reportedly requested detailed explanations from these companies concerning their transfer pricing practices.
The I-T depatment had contended that Netflix Entertainment Services (India) LLP acted as a dependent agent permanent establishment (DAPE) of Netflix. Total revenue generated by the company’s operations between April 2020 and December 2020 was above Rs 1,145 crore. Of this, Rs 1,008 crore was profit, of which attribution to Indian operations was calculated at Rs 503 crore.
The I-T depatment had contended that Netflix Entertainment Services (India) LLP acted as a dependent agent permanent establishment (DAPE) of Netflix. Total revenue generated by the companys operations between April 2020 and December 2020 was above Rs 1,145 crore. Of this, Rs 1,008 crore was profit, of which attribution to Indian operations was calculated at Rs 503 crore.