<h1>Advance Pricing Agreements provide pre-agreed transfer pricing certainty across pharma, IT and construction sectors and include rollback provisions.</h1> The Central Board of Direct Taxes has executed four additional unilateral Advance Pricing Agreements covering pharmaceuticals, Information Technology and construction, specifying transfer pricing methods and pre determined prices for international transactions such as software development, IT enabled services, engineering design, contract R&D and marketing support; some agreements include a rollback provision. The APA scheme, introduced in the Income tax Act with rollback added later, aims to provide certainty to taxpayers in transfer pricing and to foster a non adversarial tax regime, and has seen substantial applicant interest.