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India stops tea-laden Nepali trucks on border for lab tests

Indian businesses fear higher taxes over unsettled dues to small vendors as March 31 deadline inches closer

Indian businesses are facing a higher tax outgo due to a new law that requires them to clear outstanding dues to small and micro vendors within 45 days. The law, passed in 2023 and unchanged in the 2024 budget, treats incurred expenditures as income on which tax must be paid for FY 24-25. Many businesses are consulting auditors and tax experts to estimate the extent of the impact and find ways to avoid a tax blow. Some small units are even considering surrendering their small and micro registrations to protect their order books.

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