Infosys , one of India's leading IT services companies, is currently grappling with two separate financial challenges from government authorities. The company has received a significant show-cause notice from the Directorate General of GST Intelligence (DGGI) and a separate penalty order from the Assistant Commissioner of Central Tax.

DGGI Show-Cause Notice

Infosys has been served with a show-cause notice amounting to Rs 4.15 billion by the Directorate General of GST Intelligence (DGGI). The notice pertains to suspected ineligible Input Tax Credit (ITC) refund claims made by the company. This development raises questions about the company's tax practices and could potentially impact its financial position.

Additional Penalty from Central Tax Authority

In a separate incident, Infosys has also received a penalty order from the Assistant Commissioner of Central Tax. According to the company's LODR (Listing Obligations and Disclosure Requirements) filing, the details of this penalty are as follows:

Company's Response

Infosys has stated that the penalty from the Central Tax Authority does not have any material impact on its financials, operations, or other activities. However, the company has not yet commented on the larger show-cause notice from the DGGI.

Implications for Investors

These regulatory actions highlight the increasing scrutiny on tax practices in the Indian IT sector. While Infosys maintains that the smaller penalty has no material impact, investors will likely be watching closely for the company's response to the more substantial DGGI notice.

Stakeholders should stay tuned for further updates from Infosys regarding its plans to address these regulatory challenges and any potential impact on its financial performance.

Infosys , a global leader in next-generation digital services and consulting, has announced a groundbreaking collaboration with Telenor Shared Services (TSS) to modernize its Human Resources (HR) operations. This partnership aims to leverage Oracle Fusion Cloud Human Capital Management (HCM) technology to streamline HR processes and enhance employee productivity and experience.

Transforming HR with Cloud Technology

The collaboration between Infosys and TSS marks a significant step towards digital transformation in the telecom industry. By implementing Oracle Cloud HCM, TSS will standardize its HR processes and unify its Human Capital Management, Financial Management, Supply Chain Management, and Projects Portfolio Management on a single platform.

Key Benefits of the Partnership

• Streamlined Operations: The implementation will result in end-to-end digital integration, improving data quality and enabling better decision-making.
• Enhanced Analytics: Advanced dashboards and analytics will reshape how TSS engages with its partners, suppliers, and employees.
• Improved Employee Experience: The modernized HR operations are expected to significantly enhance the overall employee experience at TSS.

Leadership Perspectives

Morten Dean Dunham, CEO of Telenor Shared Services, expressed confidence in the collaboration, stating, "Modernizing our HR operations is crucial to improve efficiencies and employee experience. By collaborating with Infosys to implement Oracle Cloud HCM, we are confident we will get a solution that meets our future needs."

Upendra Kohli, EVP – Communication, Media and Technology (Americas & Europe) at Infosys, highlighted the significance of the partnership: "We are thrilled to collaborate with TSS on this important HR transformation journey. By leveraging our deep Oracle expertise, we have overcome significant data and system integration challenges to deliver a modern, unified HR platform."

Infosys: Driving Digital Transformation

This collaboration underscores Infosys' commitment to delivering cutting-edge digital transformation solutions. With over 320,000 employees worldwide, Infosys continues to amplify human potential and create opportunities for businesses and communities across 59 countries.

As organizations increasingly seek to modernize their operations and improve efficiency, partnerships like this between Infosys and Telenor Shared Services demonstrate the growing importance of cloud-based solutions in reshaping the future of HR management and overall business operations.