Can Obama's "Tax Break" plan affect Indian IT industry?

Obama's Tax Policy is limited to IT sector. Indians and indian industries are better valued because of copywrite intellect. We have a strong clientele base and indians have the caliber not only to satisfy the clients needs but also develop a strong relationship with their clients. This would separate us from the rest of the world. We do business with a smile and with a relationship.

I don't think it will affect on India's IT industry.It is not possible for them to stop outsourcing.Please remember Mr. Obama's speech before presidential election.At that time his first priority was to stop outsourcing.Now after completion of one year he is again playing same cassete to stop outsourcing but it is not in his hand.They are getting their job done in less cost so till then there is nothing to worry. & please don't forget Mr. Obama is also politician first & these politicians have a habit of talking without considering it's overall effect. So guys don't worry.& the main reason behind Mr. Obama's speech is that he want to impress the Americans as he has done nothing as a President in last one year.

This is a factor of "costing". USA farms get more leverage by outsorcing than by doing jobs themselves. Tax-breaks may not stop outsorcing. This has been done by Mr Clinton earlier but did not find takers.

hai i will supporting to your knowlage

I support you sumitra as due to tax break the Indian IT industry are going to shine more than global IT industry. Obama Tax Break are going to Indian IT Industry very competent and also refer to the statiscal survey in USA EMPLOYMENT IN IT Industry is 60-70% of the population in the IT Industry in the USA is by the Indians. So our Indians are to very proud to say that Indian IT Gradutes are quickly hired in the Global IT Industry. Moreover the hihgly populated country in IT industry, IT gradutes are Indians. Be proud to be Indian as well we have outperforming administrator Dr.Manmohan Singh Indian National Bureaucratics will perform and will respond to Mr.Obama for the tax break. 

Going by the statement, a knee jerk reaction would be pressure to reduce margins to be in the competitive race. I only see this matter is another approach to give the outsourcing organizations to maintain their aggressive pricing so as tobe in the race, else could move the jobs to the new destinations which could be offshore or some near shore organizations.

i agree with Sumitra,it is not going to affect Indian IT industry. Not only gartners even the NASSCOM's vice president Mr.Ameet Nivsarkar also says that the move does not affect the Indian IT companies

No, It wont affect India. We have capable manpower in this field. If they stop outsourcing they will lose a talented manpower. We are doing their job at less cost.

Dear Sumitra,I support your idea.With the improvement on economic front in USA,the outsourcing will gain momentum and India being a front runner will be favoured but will have to compete with other major player China and the volume of out sourcing may get reduced unless India develops a competitive edge over others.This ,however, will mean reduced margins and reduced pay scales.

I think obama is a good orator,if u see the history of Obama's after presidential election it will reflect how he is orating things.Dont worry guys it wont be practical.

Tax breaks are only to encourage IT industries, It is government policy that the areas where developmets are needed, encourage such areas by giving tax breaks. Thus it will be a support by the government. It is  Governments duty to find out the cream area where encouragement is needed and provide support to such areas, Indian IT industries are for better value universally, revenue from that area will support for healthy balance of payment position for the nation. tHOSE TAX BREAK HAS NOTHING TO WITH OUR OPOTUNITY TO HAVE THEIR BUSINESS.

Americans are so capatalistics...they cannot afford high cost....No major affect due to this tax break holiday...