BENGALURU: Walmart Inc. and other PhonePe shareholders could have to pay nearly USD 1 billion in tax for shifting its domicile from Singapore to India in October. When enquired Walmart confirmed that they have been served a tax demand.
“This is related to
Redomicile that was announced in October,” the US-based retail giant told this newspaper. PhonePe has moved all businesses and subsidiaries of PhonePe Singapore to PhonePe Pvt Ltd - India. This includes its insurance broking services and wealth broking businesses.
Recently, the fintech platform became a wholly India-domiciled firm. It plans to raise USD 1 billion this month. Both Flipkart and PhonePe announced full ownership separation of the latter. PhonePe, which was acquired by Flipkart in 2016, has 43 crore registered users and digitised over 35 million offline merchants.
PhonePe in October said its board approved the creation of a new ESOP plan and migration of over 3,000 employees’ existing ESOPs by issuing new ESOPs under PhonePe India’s plan. Under the newly liberalised automatic ODI rules, it also moved the ownership of the recently acquired IndusOS Appstore (OSLabs Pte Ltd) from Singapore to India.