India is planning to offer Apple up to 15 years of tax certainty for its manufacturing operations. The proposal is meant to give the company a stable tax environment as it continues to expand iPhone production in the country. If approved, the move could encourage Apple and its manufacturing partners to invest more in India over the coming years.
In the newly proposed plan, the new end date is 31 March 2041, up from 2031 under the current rule. The current version that the country now follows was introduced in February this year, as part of the Union Budget for 2026-27. It was registered as Clause 109 of the Finance Bill, which amended Schedule IV of the Income-tax Act 2025. In 2016, Tim Cook and Narendra Modi agreed to build a production base in India that went beyond assembly.
The proposal is tied to India's business connection rules, which decide how foreign companies are taxed when they operate in the country. A clear tax policy helps companies plan for the future without worrying about sudden changes. For a business that invests billions in factories and supply chains, that kind of certainty can make a big difference.
In India, Apple funds the high-precision machinery that Foxconn and Tata Electronics use to build iPhones. For companies like Apple, building new factories is a long-term decision. It takes years to set up production, hire workers, and build supplier networks. Stable tax rules make those decisions easier and reduce business risks.
If the proposal goes ahead, it could help India attract even more global manufacturers. It would also strengthen the country's position as an important part of Apple's worldwide supply chain. For Apple, it means a more predictable future. For India, it could bring more jobs, fresh investment, and higher exports.