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October 13, 1997

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Panel set up to debate 'cyber laws'

The Union government has set up a special interdepartmental committee to examine the need for 'cyber laws' that will bring the country in tune with the realities of the digital age.

The committee, in which the Department of Electronics is playing an active role, will also examine the various laws and regulations which stand in the way of conducting electronic commerce.

DoE Secretary Shymal Ghosh has said that the committee, which had its first
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meeting recently, is debating whether the country should go in for a comprehensive 'cyber law' or make suitable amendments to existing laws.

He said the formulation of an entirely new law would require "a longer time".

Specific clauses in various Indian laws and regulations render the conduct of commercial transactions through electronic means illegal.

Technological advancements have also thrown up other issues which are as yet uncovered by any legislation. For instance, the tax implications of the sale of products and services over the Internet, the global network of computers which transcends all geographical boundaries.

Debate is raging internationally on which tax law should apply for such sales: The law of the seller's country, that of the country in which the company's Web server is located or that of the country in which the purchaser is located.

(Incidentally, the US government has proposed that electronic commerce over the Internet be made tax-free).

- Compiled from the Indian media

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