India offers tax holiday until 2047 for foreign cloud providers

India's FY27 budget introduced a tax holiday through 2047 for approved foreign cloud service providers, provided the data center is owned and operated by an Indian entity and serves non-Indian clients. A 15% safe harbor margin applies to the local operator, while serving Indian customers requires a reseller entity taxed at the full corporate rate.

• India is APAC's second-largest data center market with 1.6GW of capacity
• 3.1GW of construction is planned; Mumbai to exceed 1GW by end of 2026
• Tax holiday runs until 2047 for approved foreign providers
• Meta plans to lease a 168MW facility from Reliance Industries