Taxation and Other Laws (Amendment) Bill 2026, passed by Lok Sabha on August 6, belongs to the category of reforms that sit quietly, changing a few lines of law, but fundamentally alter the economics of investing and manufacturing. By removing specific tax impediments faced by global electronics supply chains, GoI has taken a far-sighted step - one that's simultaneously pro-industry, pro-exports, pro-investment and strategically important - for India's economic security.
At the heart of the reform is a recognition that 21st-c. global value chains cannot be governed by 20th-c. notions of tax presence.
