ASSOCHAM president Sajjan Jindal has expressed serious concern over the Obama administration decision to deny tax benefits to US companies that outsource their jobs, adding that it will prevent free flow of goods and services under WTO regime.
In a statement, Jindal said that the beneficiary of outsourcing jobs has not only been the receiving country but more so the country which has outsource their jobs in the past and the trend will remain so even in future. Estimates reveal that a US$ job outsourced fetched the outsource country more than 10 times of economic benefits and therefore discourage outsourcing by denying tax benefits can prove disastrous, Jindal added.
The entire world is reeling under pressures of global meltdown and assuming that protective measures like denial of tax benefits will work towards benefis of domestic economy will prove be a serious mistake. It will also go against the spirit of competition and free market economies in which trans-national trade barriers are fastly fading away and the color of the capital is becoming colorless.
Jindal has called for its immediate renew for final withdrawal as the rest of economies will get inspired with this decision to provide unnecessary safeguards for their corporates.
Subscribe to:
Post Comments (Atom)
0 comments:
Post a Comment