Transfer Pricing

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Advisory Services on Transfer Pricing in India

Transfer pricing (TP) refers to the pricing of transactions between associated enterprises, such as subsidiaries of a multinational company. In India, transfer pricing regulations are governed by the Income Tax Act, 1961, and align with global standards set by the OECD. With increasing scrutiny by tax authorities, businesses must ensure compliance to avoid disputes and penalties.

Advisory services on transfer pricing in India provide expert guidance to companies on structuring intercompany transactions, maintaining proper documentation, and ensuring compliance with Indian TP regulations. These services include:

1. Benchmarking Studies: Conducting comparability analyses to determine arm’s length prices.

2. Documentation: Preparing Master Files, Local Files, and Country-by-Country Reports (CbCR) as per regulatory requirements.

3. Compliance Support: Assisting in filing Form 3CEB and other necessary documentation.

4. Dispute Resolution: Representing clients in audits, appeals, and Advance Pricing Agreements (APAs).

5. Risk Management: Identifying and mitigating potential TP risks.

With India’s tax authorities increasingly focusing on cross-border transactions, seeking professional advisory services is crucial for businesses to navigate the complex TP landscape, ensure compliance, and avoid costly litigation.