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 :: due date for vat payment :: ACCOUNTING STANDARD :: ARTICLES ON INPUT TAX CREDIT IN VAT :: ACCOUNTING STANDARDS :: VAT Audit :: empanelment :: cpt :: TDS :: TAX RATES - GOODS TAXABLE @ 4% :: Central Excise rule to resale the machines to a new company :: form 3cd :: list of goods taxed at 4% :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: articles on VAT and GST in India
 
 
Transfer Pricing »
 Interpretation Of Central Goods And Services Tax (CGST) Act (Part-10)
 CBDT notifies secondary adjustment rule in transfer pricing
  Revised Transfer Pricing Safe Harbour Rules Bring Cheer
 CBDT notifies secondary adjustment transfer pricing rules
 Revised Transfer Pricing Safe Harbour Rules Bring Cheer
 India Rationalizes 'Safe Harbor' Rates for Multinational Corporations
 India Rationalizes 'Safe Harbor' Rates for Multinational Corporations
 Tax officials preview coming OECD transfer pricing guidelines on financial transactions
 Transfer pricing future: It may largely evolve around presence of true value creators
 Private sector participation in defence faces many hurdles
 Indian transfer pricing case could signal new approach for advertising, promotional expense

CBDT issues new norms for transfer pricing cases
April, 06th 2016

The Central Board of Direct Taxes (CBDT) has come out with new instructions on transfer pricing that could go a long way in establishing non-adversarial tax regime for MNCs operating in India.

Replacing all earlier instructions on transfer pricing assessments, the latest instruction could pave the way for sharp reduction in transfer pricing litigation in India and give a boost to taxpayer confidence on the Indian tax system.

Power of officer

The new instruction significantly rationalises the power of Assessing Officer while referring cases to transfer pricing officer, to only three specified circumstances. Moreover, the power of assessing officers to make transfer pricing adjustment has been completely withdrawn.

Amit Agarwal, Partner-Transfer Pricing, Nangia & Co, said that the administrative withdrawal of the power of assessing officer to make transfer pricing addition would definitely go a long way in reducing transfer litigation. Henceforth, transfer pricing additions can only be penned by the transfer pricing officer.

Focus on quality

Agarwal also said that the new instruction demonstrates focus of the Government on quality of transfer pricing litigation rather than quantity.

It is expected that the quantum of transfer pricing litigation could fall by as much as 50 percent over next year, he said.

“In simple terms, the new instruction is significant, incredible and remarkable news for MNCs in India,” Agarwal said.

More transparent

Samir Gandhi, Partner, Deloitte, Haskins & Sells said the revised guidelines dated March 10 — applicable with immediate effect — requires Assessing officer not to determine arms length price for transfer pricing. Only transfer pricing officer will do the same, Gandhi added.

The risk parameters for selection of cases for transfer pricing can be made known to the taxpayers which will be transparent and also act as a deterrent for application of correct transfer pricing, he said.

The non transfer pricing risk parameters are broadly the same as in earlier years, he said.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Custom Software Development Outsourcing Custom Software Development Offshore Cus

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