The current COVID-19 pandemic is set to change the ways business is done. With millions working from home(WFH) amid the pandemic, the IT Sector is now realizing that WFH will be the new normal for the coming years. With this has come the need to seek revisions in India’s information technology sector’s taxation and labor laws. This comes in the wake of the fact that over half the workforce in the $191 billion industry could begin to deliver services remotely as part of the changes being wrought by the ongoing pandemic.
Earlier this month, several IT industry leaders met government officials where they were asked to detail the legislative changes required to facilitate this significant transition. Industry body Nasscom has been tasked with preparing a detailed report, after which “it will (go) to relevant ministries such as the department of telecom and the labor ministry for action.
Key points for changes include a change in labor laws to redefine working hours and shift timings, the option to choose NPS over EPFO, DoT exemptions, improvement of telecom, and broadband infrastructure.
The industry has also requested the government to make permanent several recent concessions extended until July, including relaxation of telecom regulations that allow back-office companies to work from home and move equipment out from designated special economic zones to facilitate remote working.
