Found out recently that NDA has built a huge research and recreation centre in Alibaug near Mumbai. Seems like an interesting idea, but I was also wondering if such things serve a useful function or end up becoming a white elephant.
On the research front, as long as you have decent office infrastructure, the research can seemingly happen efficiently at the office itself. I agree the scenic surroundings can boost creativity, but I wonder if the corp law field requires that much creativity. I may be wrong though, and I've read NDA's articles and papers, and they are almost always much better than those of other firms.
Secondly, considering the campus' location in Alibaug, accessibility must be a problem for teams based in offices other than Mumbai.
If any NDA employees are here, have you ever been to the centre, and if yes, have you found it useful? Or is it just used for some annual firm-wide conference/summit and at other times its use is restricted for higher level management and clients?
Also, do any other Indian firms have similar centres?
It's nothing but a huge ego project for Nishith Desai himself.
Rumors have suggested that he has built it as a retirement home + as a huge sink of money as a creative tax write off. After all, even though Nishithbhai treats his associates as 'employees' (and deducts tax accordingly), he treats himself as a professional and thus ensures favorable tax treatment for himself.
It was useless in 2019 and its even more useless now. Although from what I hear in more recent days people have been spending time at the Research center to write 'research papers'. Rest assured, there is no crazy research happening there. It is 99% a gimmick.
The first thing that came to my mind is that under the Copyright Act, anything created by the employee becomes the intellectual property of the employer, but I don't think its so straightforward.
I think by treating us as employees, he significantly reduces his own tax compliance burden or is somehow able to pay less tax. I would expect nothing less from a tax expert. It's pure self-enrichment in my view and nothing else.
However take it with a pinch of salt, I am not a tax expert myself.
Employees>Contractual Positions. Employees more rights > contractual workers
You won't take it positively and as more just because your cynicism won't allow it? And to save tax? Boss the tax saving form ITR-4 is useless for any lawyer with investments offshore and with capital gains. Tax saving is hyped, people earning in 30% bracket and more have to invest and trigger ITR -3. Looking at my tax numbers I don't despise NDA being fair to it's employees vis-a-vis their rights and giving that more importance than a tax exemption form.
There are absolutely ZERO rights an NDA lawyer gets as an employee. No guaranteed leave, no PF, no Gratuity, no overtime, nothing. I'd rather prefer the lower tax deduction and the ability to write off my expenses as a 'contracted professional'
Rules are different for NMD and he picks and chooses as per his wish. Will not be surprised if he has found a way to not have EPF by spliting into smaller firms. RoC data shows that he has multiple entities with some of the trusted employees as directors. All his real estate properties belong to these entities, he shows all his personal expenditure as business expense - even the pocket money to his kids is shown as business expense. All this is evident from the orders in the numerous tax litigation he has successfully contested.
Boss, ego ho to nishithbhai jaisi, warna ho hi na. I noticed that the reference on the home page of NDA's website to this maya nagari has been removed. Earlier you could go left (aligunjan) or right (reality) but now only a welcome link. Kya firm ka band baj gaya hai jaise ki LI par kuchch aur threads par post kiya ja raha hai?
On the research front, as long as you have decent office infrastructure, the research can seemingly happen efficiently at the office itself. I agree the scenic surroundings can boost creativity, but I wonder if the corp law field requires that much creativity. I may be wrong though, and I've read NDA's articles and papers, and they are almost always much better than those of other firms.
Secondly, considering the campus' location in Alibaug, accessibility must be a problem for teams based in offices other than Mumbai.
If any NDA employees are here, have you ever been to the centre, and if yes, have you found it useful? Or is it just used for some annual firm-wide conference/summit and at other times its use is restricted for higher level management and clients?
Also, do any other Indian firms have similar centres?
Rumors have suggested that he has built it as a retirement home + as a huge sink of money as a creative tax write off. After all, even though Nishithbhai treats his associates as 'employees' (and deducts tax accordingly), he treats himself as a professional and thus ensures favorable tax treatment for himself.
It was useless in 2019 and its even more useless now. Although from what I hear in more recent days people have been spending time at the Research center to write 'research papers'. Rest assured, there is no crazy research happening there. It is 99% a gimmick.
Does Nishith Desai (or the company) personally stand to gain in any way by treating the associates as employees and not professionals?
I think by treating us as employees, he significantly reduces his own tax compliance burden or is somehow able to pay less tax. I would expect nothing less from a tax expert. It's pure self-enrichment in my view and nothing else.
However take it with a pinch of salt, I am not a tax expert myself.
Employees more rights > contractual workers
You won't take it positively and as more just because your cynicism won't allow it? And to save tax? Boss the tax saving form ITR-4 is useless for any lawyer with investments offshore and with capital gains. Tax saving is hyped, people earning in 30% bracket and more have to invest and trigger ITR -3. Looking at my tax numbers I don't despise NDA being fair to it's employees vis-a-vis their rights and giving that more importance than a tax exemption form.
http://www.nishithdesai.com/fileadmin/user_upload/pdfs/Event/Imaginarium-Aligunjan-Brochure.pdf
https://www.nishithdesai.com/information/research-and-articles/research-at-nda.html
https://www.nishith.tv/videos/boat-inauguration-dec-24-2018/
Rednecks in Mississippi have bigger fishing boats than that. Running with a V8 motor, no less.