Transfer Pricing

Transfer price is a price which represents the value of good; or services between independently operating units of an organisation. But, the expression “transfer pricing” generally refers to prices of transactions between associated enterprises which may take place under conditions differing from those taking place between independent enterprises. It refers to the value attached to transfers of goods, services and technology between related entities. It also refers to the value attached to transfers between unrelated parties which are controlled by a common entity.

Transfer pricing rules under Indian income-tax law require that income from “international transactions” between “associated enterprises” be computed at an “arm’s length price.” Now specified domestic transaction will also be tested applying arm’s length principle.

Our firm provides services in TP in the areas of:

  •   Preparing a transfer pricing study.
  •   Providing analysis on comparables.
  •   Handle matters in appellate stages / DRPs.
  •   Providing legal briefs / advises on tax avoidance while entering international transactions.