Indian “IT” industry
The Indian “Information Technology” industry has expanded from exports of US$2 billion to US$ 50 billion (2008 figures) in just one decade. The opportunities in IT and IT-related services, such as BPO, KPO, LPO and even hitherto largely untapped markets such as software and product development, remain vast for the Indian IT sector.
In order to grasp global opportunities in a fast changing world the Indian IT sector needs to climb further up the IT value chain. Having an “offshore” presence in a cost-effective country such as India is simply not enough. Indian IT companies require to be “on-shore” too – where their customers are located. That means setting up or enhancing local operations and transferring knowledge, skills and resources to those locations to blend in with local talent to reach out effectively to clients there. The large Indian IT giants have succeeded in doing that but their example must be followed by others.
Due to the difficult economic climate, the traditional export markets for the Indian IT sector such as the UK, although still offering many business opportunities, have had to raise the bar in terms of regulatory requirements. This includes increased compliance for obtaining visas for Indian IT consultants as well greater scrutiny of expatriate payroll tax and corporate tax profiles.
In the articles in this section we explore the practical immigration, tax and other regulatory issues facing Indian IT companies in the UK and Europe in general and we offer indicative solutions as to how regulatory obstacles can be overcome within compliance frameworks.
- IT companies: establishing UK marketing office
If you are an overseas IT company wishing to develop business in the UK it is essential that you set up a UK office. A local office will enable you to be “near” your clients and potential prospects. A UK presence will also indicate to the market that you are serious about business in the [...]
- Sponsor Licence for UK Tier 2 work visas
The quickest method of bringing IT consultants and software engineers to work on client projects in the UK is to depute them under the “Intra-Company Transfer” or ICT route. For this purpose your UK office (branch or subsidiary) will require a Sponsor Licence under the Tier 2 category. Once the UK office is a registered T2 [...]
- Tier 2 visa Sponsors: UKBA compliance & “right to work” in the UK
Right to work in the UK Under the Immigration, Asylum and Nationality 2006 which came into force on 29 February 2008 if your UK office employs a person who is not allowed to work in the UK or who is working for you in breach of their conditions of stay in the UK then your organisation will [...]
- UKBA Occupational Codes of Practice
The HR departments of Indian IT companies have a new task in hand from 6April 2011. Not only have they got to differentiate between “short-term” and “long-term” routes for the Tier2 “Intra-Company Transfer – Established Worker” category in terms of ensuring the minimum salaries under each of these two routes is met, but in addition [...]