Government proposes tax relief for offshore funds, electronics’ contract manufacturing
The Indian government proposed significant tax relief measures to enhance fund management and contract manufacturing, including extending tax exemptions for offshore funds and electronics production until 2040-41. Finance Minister Nirmala Sitharaman announced that the five-year tax exemption for contract manufacturing will be extended by 10 years, while a new 15-year tax holiday is proposed for certain foreign mining companies. These amendments are part of the Taxation and Other Laws (Amendment) Bill, 2026, expected to be introduced in Parliament this week.