Guidance Note on Report Under Section 92E of the Income Tax Act, 1961 (Transfer Pricing)
April, 10th 2013
It gives me immense pleasure to inform you that ICAI has recently released the Guidance Note on Report Under Section 92E of the Income Tax Act, 1961 (Transfer Pricing). The law relating to transfer pricing is dynamic and the members of the Institute are getting acquainted with the practical implications of the provisions and rules relating to Transfer pricing.
The Finance Act, 2012 has made significant changes such as Definition of International Transaction,Advance Pricing Agreement (APA), Amendments relating to Penalties, etc.
The members of our profession are required to examine the information and documentation so maintained and expresses an opinion thereof in Form No.3CEB as to the compliance of the legal requirements. The report also requires opinion to be expressed about the truth and correctness of the particulars given in the annexure to Form No. 3CEB.
Guidance has been given with regard to how the Chartered Accountant should exercise due diligence while verifying international transactions in view of the increased scope of the definition of International Transactions.