Can't pay tax on fictional income: Flipkart on â¹110cr demand
E-commerce platform Flipkart has challenged the income-tax department's demand to reclassify marketing expenses and discounts as capital expenditure, arguing that tax cannot be levied on "fictional income". Flipkart's appeal was against a â¹110 crore tax demand for the financial year 2015-16. The issue revolves around the money spent by the e-commerce firms on marketing through discounts.