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Home News India

Indian Advance Pricing Agreement regime moves forward with signing of 18 APAs by CBDT in March, 2019

by Janam Web Desk
Apr 4, 2019, 07:37 am IST
in India

New Delhi: The Central Board of Direct Taxes (CBDT) has entered into 18 APAs in the month of March 2019, which includes 03 Bilateral APAs (BAPAs). With the signing of these APAs, the total number of APAs entered into by the CBDT in the year 2018-19 stands at 52, which includes 11 BAPAs. The total number of APAs entered into by the CBDT as of now stands at 271, which inter alia includes 31 BAPAs.

The BAPAs entered into during the month of March 2019 were with the following treaty partners:-

Australia – 1
Netherlands – 1
USA – 1
The BAPAs and Unilateral APAs entered into during the month of March 2019 pertain to various sectors and sub-sectors of the economy like anti-friction bearings, risk management solutions platforms, BPO, IT/ITeS, ATMs, industrial and institutional cleaning and hygiene products, etc.

The International Transactions covered in all these Agreements, inter alia, include the following

contract manufacturing
provision of software development services
back office engineering support service
provision of back office support services
provision of marketing support services
payment of royalty for use of technology and brand trading payment of interest.

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.

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