Foxconn gets tax demand notice from two gram panchayats, industries dept to intervene

Core Insights - Foxconn, a Taiwanese electronics giant, is facing notices from two gram panchayats regarding local tax payments and land use details for its facility in Devanahalli, Karnataka, which is significant for the state's efforts to attract global investors in emerging technologies [8] - The company has pledged to invest Rs 21,911 crore in phases at its modern facility near Bengaluru international airport, where it assembles smartphones for major brands like Apple Inc [8] - The Karnataka government has previously announced incentives worth Rs 6,970 crore to Foxconn under its electronics system design and manufacturing policy, marking a significant investment in high-end electronics manufacturing [7][8] Company Operations - The Foxconn facility spans 300 acres and is located within the jurisdiction of Vishwanathapura and Koira gram panchayats [8] - The facility is part of the Devanahalli industrial area developed by the Karnataka Industrial Areas Development Board (KIADB), which is designated as a special investment region [5][8] - Foxconn is required to provide the gram panchayat with details regarding land use, built-up area, construction plans, and taxes paid to KIADB under the Karnataka Gram Swaraj and Panchayat Raj Act, 1993 [6][8] Government Interaction - The Karnataka industries department plans to intervene with the panchayat raj department to address issues raised by the Koira gram panchayat regarding Foxconn [8] - Principal Secretary (commerce & industries) S Selvakumar indicated that the panchayat's actions stem from a misunderstanding of the law governing tax payments and land use [5][8] - The gram panchayat has the authority to seize immovable property and auction it to recover dues if Foxconn fails to respond to the notices within one month [6][7]