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Central Board of Direct Taxes signs three more unilateral Advance Pricing Agreements with taxpayers
July, 10th 2018

The Central Board of Direct Taxes (CBDT) has signed three more unilateral advance pricing agreements (APAs) in last two months as it looks to reduce litigation by providing certainty in transfer pricing.

The unilateral APAs signed during the past couple of months pertain to consumer industry, automobile and precious stones & metals sectors.

"The international transactions covered in the agreements pertain to the provision of corporate guarantee, purchase of brand, availing of grading services, availing of management services and payment of royalty," CBDT said in a statement.

With the signing of these agreements, the total number of APAs entered into by the CBDT has gone up to 223, which inter alia include 20 bilateral APAs, the official statement said.

"The progress of the APA scheme strengthens the government's resolve of fostering a non-adversarial tax regime.

The Indian APA programme has been appreciated nationally and internationally for being able to address complex transfer pricing issues in a fair and transparent manner," the CBDT added.

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