“This marks the highest number of APA signatures in any fiscal year since the inception of the APA program. According to a CBDT statement, the number of APAs signed in FY 2023-24 also shows an increase of 31 per cent compared to 95 APAs signed during the previous financial year.
With this, the total number of APAs since the inception of the APA program has reached 641.
The number of agreements has increased as a result of concluding mutual agreements with India's treaty partners Australia, Canada, Denmark, Japan, Singapore, UK and the US.
The APA scheme provides certainty to taxpayers in the area of transfer pricing by specifying pricing methods and setting arm's length pricing on international transactions for a maximum of five years in advance.
Additionally, the taxpayer has the option to rollback the APA for four preceding years, resulting in tax certainty being provided for nine years.
Signing a bilateral APA protects taxpayers from any anticipated or actual double taxation.
With this, the total number of APAs since the inception of the APA program has reached 641.
The number of agreements has increased as a result of concluding mutual agreements with India's treaty partners Australia, Canada, Denmark, Japan, Singapore, UK and the US.
The APA scheme provides certainty to taxpayers in the area of transfer pricing by specifying pricing methods and setting arm's length pricing on international transactions for a maximum of five years in advance.
Additionally, the taxpayer has the option to rollback the APA for four preceding years, resulting in tax certainty being provided for nine years.
Signing a bilateral APA protects taxpayers from any anticipated or actual double taxation.
