The government had in March 2020 extended the scope of the equalisation levy, first introduced in 2016, to include ecommerce companies as well.
The finance ministry might allow e-commerce companies not based in India to defer payment of google tax till September.
The ministry has discussed the matter with the Central Board of Direct Taxes (CBDT) after it consulted with representatives of digital and technology companies, Business Standard reported.
Moneycontrol could not independently verify the story.
Equalisation levy, or google tax, is a tax on revenue from digital transactions by companies not based in India, are involved in space such as online advertising.
Companies such as Amazon, Netflix and Flipkart might have to pay a 2 percent tax starting from April 1, 2020.
The government had in March 2020 extended the scope of the equalisation levy, first introduced in 2016, to include e-commerce companies as well.
The move could impact several companies, such as Airbnb, booking.com, Agoda, Zoom, GoDaddy, Tencent, Expedia.
The Department of Revenue is opposed to deferment of payment of equalisation levy by 9 months, CNBC-TV18 reported on May 3.Special Offer: Subscribe to Moneycontrol PRO’s annual plan for ₹1/- per day for the first year and claim exclusive benefits worth ₹20,000. Coupon code: PRO365
