Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: VAT RATES :: ACCOUNTING STANDARDS :: ARTICLES ON INPUT TAX CREDIT IN VAT :: TAX RATES - GOODS TAXABLE @ 4% :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: cpt :: Central Excise rule to resale the machines to a new company :: due date for vat payment :: ACCOUNTING STANDARD :: empanelment :: form 3cd :: TDS :: list of goods taxed at 4% :: articles on VAT and GST in India :: VAT Audit
 
 
General »
 Companies should invest in upgradation of tax technology
 Top House tax writer suggests measures to mitigate the impact of the border tax
 Consumer goods distributors, wholesalers to bear the brunt of GST
 GST classification woes to continue
 There will be no tax on farm or agriculture income
 RBI, Income Tax Acts to be amended for electoral bonds, Jaitley says
  Clarifications on the Taxation and Investment Regime for Pradhan Mantri Garib Kalyan Yojana, 2016
 I-T zeroes in on Mumbai trader in first crackdown after demonetisation
  Tax queries answered by Dilip Lakhani, Senior Chartered Accountant
 Income Tax Department Failed To Unearth Black Money Despite Information
 Govt filing twice as many cases as private cos in Supreme Court

More options to settle tax disputes
January, 30th 2010

This is good news for multi-national companies (MNCs) operating in India. Over 1,600 such companies, who were asked to pay additional corporate taxes on account of their overseas transactions, now, have the option to appeal before the conventional forum of Commissioner (Appeal) as well as Dispute Resolution Panel (DRP) for redressal of their grievances. An appeal before the commissioner (Appeal) may take a year or two for a decision.

However, DRP, a panel comprising three senior officers of the income-tax (I-T) department, is expected to give out an order within nine months. Unlike in the past, when the order of the transfer pricing officer (TPO) was the final decision, the tax payer can now choose to appeal against TPOs order before the DRP, whose order will be
final and binding on the tax payer as well as the department.

A January 20 order by the Central Board of Direct Taxes (CBDT), the highest administrative body for direct tax matters, has clarified that the taxpayer is free to opt for the conventional appellate forum of Commissioner (Appeal), if he chooses to do so.

The CBDT issued the clarification for removing the ambiguity on the issue as many corporates were under the impression that it was compulsory for them to refer the draft TP order to DRP.

The provision for DRP was inserted in the Transfer Pricing Rules in the last budget. The intention behind setting up of such a panel is to help build up the image of India as an investor-friendly country, by facilitating faster resolution to tax disputes, involving overseas entities.

The transfer-pricing regime of India, which deals with the assessment of cross-border taxation, involving Indian companies, has assessed over 1,600 companies and levied an additional demand of over Rs 10,000 crore. Over 800 companies have been asked to pay up additional taxes.

All these 800 companies are free to move the DRP which is expected to give an order faster than the commissioner (Appeal). However, they can now opt for DRP or Commissioner (Appeal), depending upon the choice they make.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Binarysoft Technologies - About Us

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions