Software piracy caused tax loss of $866 million in 2009

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PUNE: In a significant finding, a study has claimed that the Indian government had suffered huge revenue losses to the tune of $866 million in 2009 on account of the high rate of software piracy in the country.
Businesses, who are otherwise legitimate, use software on a large scale but they evade paying tax when they are not buying licensed software, thus causing a big loss to the state exchequer and disruption of the domestic software eco-system, says an International Data Corporation (IDC) whitepaper, "Software Piracy in India", sponsored by Business Software Alliance ( BSA), released here.
Despite the growth in the Information Technology (IT) sector, substantial value in form of potential revenues is lost due to software piracy. With a software piracy rate of 65% in 2009 (more than six out of ten PC software programs installed in 2009 were not paid for), the study finds that only one-third of the overall PC software revenues are captured by the industry incumbents and the rest are lost to software piracy.

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TechFond - Latest Technology | Analysis | Enterprise | Startups | Product Reviews | How Tos: Software piracy caused tax loss of $866 million in 2009
Software piracy caused tax loss of $866 million in 2009
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