<h1>Government Introduces Measures for Taxing Digital Enterprises; Equalisation Levy and Significant Economic Presence Defined.</h1> The government has not conducted consultations on digital business taxation but has introduced measures to address challenges posed by remote digital enterprises. The Equalisation Levy, introduced in 2016, imposes a 6% tax on specified services from non-residents without a permanent establishment in India. Amendments to the Income-tax Act define Significant Economic Presence to establish business connections for non-residents. Stakeholder feedback is being considered to set thresholds for this presence. The General Anti-Avoidance Rule (GAAR) may apply to businesses avoiding tax obligations. The Equalisation Levy increased tax collection, and further measures aim to expand the tax base, particularly where no Double Taxation Avoidance Agreement exists.