TaxTMI 
TaxTMI 
Income-tax (Tenth Amendment) rules, 2012 - Insertion of Rules 10F, 10G, 10H, 10-I, 10-J, 10K, 10L, 10M, 10N, 10-O, 10P, 10Q, 10R, 10S, 10T & 44GA
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....;agreement' means an advance pricing agreement entered into between the Board and the applicant, with the approval of the Central Government, as referred to in sub-section (1) of section 92CC of the Act; (b) "application" means an application for advance pricing agreement made under rule 10T; (c) "bilateral agreement" means an agreement between the Board and the applicant, subsequent to, and based on, any agreement referred to in rule 44GA between the competent authority in India with the competent authority in the other country regarding the most appropriate transfer pricing method or the arms' length price; (d) "competent authority in India" means an officer authorised by the Central Government for the purpose of discharging the functions as such for matters in respect of any agreement entered into under section 90 or 90A of the Act; (e) "covered transaction" means the international transaction or transactions for which agreement has been entered into; (f) "critical assumptions" means the factors and assumptions that are so critical and significant that neither party entering into an agreement will continue to be boun....
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....etermine the suitability of international transaction for the agreement; (iv) discuss broad terms of the agreement. (6) The pre-filing consultation shall- (i) not bind the Board or the person to enter into an agreement or initiate the agreement process; (ii) not be deemed to mean that the person has applied for entering into an agreement. 10-I. Application for advance pricing agreement.--(1) Any person, who has entered into a pre-filing consultation as referred to in rule 10H may, if desires to enter into an agreement furnish an application in Form No. 3 CED along with the requisite fee. (2) The application shall be furnished to Director General of Income-tax (International Taxation) in case of unilateral agreement and to the competent authority in India in case of bilateral or multilateral agreement. (3) Application in Form No. 3 CED may be filed by the person referred to in rule 10G at any time- (i) before the first day of the previous year relevant to the first assessment year for which the application is made, in respect of transactions which are of a continuing nature from dealings that are already occurring; or (ii) before undertaking the transaction in respect of r....
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....d without providing an opportunity of being heard to the applicant and if an application is not allowed to be proceeded with, the fee paid by the applicant shall be refunded. 10L. Procedure.--(1) If the application referred to in rule 10K has been allowed to be proceeded with, the team or the competent authority in India or his representative shall process the same in consultation and discussion with the applicant in accordance with provisions of this rule. (2) For the purpose of sub-rule (1), it shall be competent for the team or the competent authority in India or its representative to- (i) hold meetings with the applicant on such time and date as it deem fit; (ii) call for additional document or information or material from the applicant; (iii) visit the applicant's business premises; or (iv) make such inquiries as it deems fit in the circumstances of the case. (3) For the purpose of sub-rule (1), the applicant may, if he considers it necessary, provide further document and information for consideration of the team or the competent authority in India or his representative. (4) For bilateral or multilateral agreement, the competent authority shall forward the applica....
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.... the agreement can be revised or cancelled, as the case may be. (5) The assessee which has entered into an agreement shall give a notice in writing of such change in any of the critical assumptions or failure to meet conditions to the Director General of Income-tax (International Taxation) as soon as it is practicable to do so. (6) The Board shall give a notice in writing of such change in critical assumptions or failure to meet conditions to the assessee, as soon as it comes to the knowledge of the Board. (7) The revision or the cancellation of the agreement shall be in accordance with rules 10Q and 10R respectively. 10N. Amendments to Application.--(1) An applicant may request in writing for an amendment to an application at any stage, before the finalisation of the terms of the agreement. (2) The Director General of Income-tax (International Taxation) (for unilateral agreement) or the competent authority in India (for bilateral or multilateral agreement) may, allow the amendment to the application, if such an amendment does not have effect of altering the nature of the application as originally filed. (3) The amendment shall be given effect only if if is accompanied by the....
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....within six months from the end of the month in which the Annual Compliance Report referred to in rule 10-O is received by the Transfer Pricing Officer. (6) The regular audit of the covered transactions shall not be undertaken by the Transfer Pricing Officer if an agreement has been entered into under rule 10L except where the agreement has been cancelled under rule 10R. 10Q. Revision of an agreement-- (1) An agreement, subsequent to it having been entered into, may be revised by the Board, if.- (a) there is a change in critical assumptions or failure to meet a condition subject to which the agreement has been entered into; (b) there is a change in law that modifies any matter covered by the agreement but is not of the nature which renders the agreement to be non-binding ; or (c) there is a request from competent authority in the other country requesting revision of agreement, in case of bilateral or multilateral agreement. (2) An agreement may be revised by the Board either suo moto or on request of the assessee or the competent authority in India or the Director General of Income-tax (International Taxation). (3) Except when the agreement is proposed to be revised on the re....
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....ent.--Request for renewal of an agreement may be made as a new application for agreement, using the same procedure as outlined in these rules except pre-filing consultation as referred to in rule 10H. 10T. Miscellaneous.--(1) Mere filing of a application for an agreement under these rules shall not prevent the operation of Chapter X of the Act for determination of arms' length price under that Chapter till the agreement is entered into. (2) The negotiation between the competent authority in India and the competent authority in the other country or countries, in case of bilateral or multilateral agreement, shall be carried out in accordance with the provisions of the tax treaty between India and the other country or countries.". (b) after rule 44G of the principal rules, the following rule shall be inserted, namely.- "44GA. Procedure to deal with requests for bilateral or multilateral advance pricing agreements.--(1) Where a person has made request for a bilateral or multilateral advance pricing agreement in an application filed in Form No. 3 CED in accordance with rule 10-I, the request shall be dealt with subject to provisions of this rule. (2) The process for b....
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....ly for an Advance Pricing Agreement. In this regard I give below the necessary particulars for a pre-filing meeting: 1. Particulars of the applicant: a. Full name of the applicant: b. Permanent account number: c. Address of the applicant: d. Location(s) of the business enterprises in India: e. Details of applicant authorized representative: f. Address for communication: g. Email Id and the contact numbers of the person with whom correspondence is required to be made: 2. The global structure of the applicant's group and the industry in which it operates: 3. Names of all the associated enterprises (AE's) with which international transactions have been either undertaken or proposed to be undertaken: 4. Name of country(s) in which (AE's) is located: 5. Business model and overview of the applicant's business operations in prior 3 years: 6. Functional and Risk Profile of the applicant and associated enterprises: 7. a. Details of all the international transactions proposed to be covered in the APA: b. Value of such international transactions covered under Transfer Pricing audit in prior 3 years: 8. Details of all other international transactions not ....
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.... Advance Pricing Agreement To, The Competent Authority of India or Director General of Income-tax (International Taxation) New Delhi Sir/Madam, This is to state that ………………….. (Name of the Applicant)……. wishes to negotiate an APA with the Central Board of Direct Taxes. I am submitting herewith the necessary particulars hereunder: I. General 1. Particulars of the applicant: a. Full name of the applicant: b. Permanent Account Number: c. Address of the applicant: d. Address for communication: e. Location(s) of the business enterprises in India: f. Email Id and the contact numbers of the person with whom correspondence is required to be made: g. Names and designation of the authorised representatives who would be appearing before the authorities for negotiations of the APA: 2. Whether pre-filing discussions were sought by the applicant? If yes, please furnish: a. Date of application for pre-filing meeting: b. Date of pre-filing meeting(s) with the APA Team: 3. Name(s) of the Associated Enterprises with whom the APA is requested for: 4. Name of the country(ies) in which the associated enterprise....
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.... marketing: 19. Financial and operating information, including corporate annual reports: (Please enclose copies) a. Financial statements on a consolidated and unconsolidated basis for the prior five years, or the most recent business cycle as appropriate (Also provide interim statements for the most recent period prior to the date of the submission): b. Income-tax returns and related supporting schedules for the prior three years including Form 3CEB: c. Operating data (gross and net) segmented by product line, division, unit, and geographic region for the prior five years, or the most recent business cycle as appropriate: 20. Relevant marketing and financial studies: (Please enclose copies) 21. Copies of all relevant inter-company agreements (pricing, cost sharing, licensing, distributorship etc.): (Please enclose copies) III. Industry and market analyses 22. Detailed industry analysis: a. Comprehensive description of industry as well as generally accepted industrial and commercial practices: b. Identification and general profile of competitors, including respective market shares: c. Industry and general business statistics, financial ratios, and analyses/studies: d....
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.... 1. Bilateral or multilateral APA application shall be filed with the Competent Authority i.e. the Joint Secretary FT&TR-I, New Delhi in triplicate. 2. Unilateral APA application shall be filed with the Director General of Income-tax (International Taxation), New Delhi in triplicate. 3. If the space provided for answering any item in the application is found insufficient, separate enclosures may be used for the purpose. These enclosures should be signed by the person authorised to sign the application. 4. The fee shall be computed in accordance with the sub-rule (5) of rule 10-I. 5. The application shall accompany with all the relevant documents. Form No. 3 CEE (See sub-rule (2) of rule 10J) Application for withdrawal of APA request To, The Competent Authority of India, or The Director General of Income-tax (International Taxation), New Delhi. Sir/Madam, This is to state that……………….. (Name of the Taxpayer) had filed an application for Unilateral/Bilateral/Multilateral APA on ...dd/mm/yyyy. For the reasons stated below, the application is hereby withdrawn: I declare that to the best of my knowledge and belief, the information ....