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'Govt to finalise transfer pricing rules for captive mines'
March, 16th 2016

The Cabinet on Friday approved transfer of mining lease for captive mines and eased up passage for merger and acquisition (M&A) activities in the cement sector. Sources now say the government is on its way to finalising transfer pricing rules for captive mines linked to businesses. It is also mulling levy of percentage of royalty for transfer of mining lease.

Transfer pricing will be decided post the Parliament nod for MMDR amendment. A provision was made in the amendment to allow transfer of mining leases and as well as auctioning mines. This in turn will pave the way for M&As.

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