Search Result for : Cbdt

The Dollar Business Bureau The CBDT (Central Board of Direct Taxes) has signed 2 agreements with Indian tax payers with an intention to strengthen the government's commitment for a non-adversarial tax regime. The unilaterally signed advance pricing agreements have a provision that allows the government to “rollback” the agreement. A release shared by the press Information Bureau suggested that the CBDT entered into these APAs to cover areas pertaining to Information Technology, Banking and Financial sectors. A pricing agreement can be understood as a written contract between a supplier and a business customer on the pricing of a specific commodity. An Advanced Pricing Agreement considers the volatilities of price, since a quote may expire or is subject to change at any time. Prices ...

The Dollar Business Bureau The Central Board of Direct Taxes (CBDT) has signed yet another bilateral Advance Pricing Agreement (APA) with a subsidiary of a Japanese firm. With this new agreement, the CBDT has entered into a total of 141 APAs with various companies. “Central Board of Direct Taxes (CBDT) signs another Bilateral Advance Pricing Agreement (APA) with a subsidiary of Japanese Company, taking the total APAs entered into by the CBDT to 141,” Ministry of Finance said in an announcement. In the financial year 2016-17 alone, the CBDT has entered into a total of 77 unilateral and bilateral APAs. In 2015-16, it signed a total of 55 unilateral and bilateral APAs. The total number of bilateral APAs with Japanese subsidiaries has now reached five, ...

The Dollar Business Bureau Corporate executives and industry captains deliberating at CII’s live budget viewing session at Mumbai had a mixed-feel while watching the budget unfold. When Jaitley came on the giant screen at 11:00, everybody thought he would bring AccheDin, but very few felt it were Achhe Din. Most CEOs chose modesty in acknowledging the budget as one in the “right-earnest” and some even commented that it was “business-as-usual”. CORPORATE TAXATION The industry was primarily gung-ho on amends in corporate taxation, improvement in the education sector, affordable housing, exports, tariffs and GST related discussions. But many of these keywords went unaddressed as the FM chose MSME, Agriculture and common man to focus on. Corporate taxation was anticipated to drop to an 18% figure, a proposal ...

The Dollar Business Bureau The Central Board of Direct Taxes (CBDT) has inked four unilateral Advance Pricing Agreements (APAs) in the past two days relating to several sectors including information technology (IT), pharmaceuticals and construction.  “CBDT has entered into four more unilateral APAs on November 22 & 23, 2016. The international transactions covered in these agreements include software development services, IT enabled services (BPOs), engineering design services, contract R&D services and marketing support services," an official statement said on Wednesday. “Some of the given agreements have also a provision to rollback,” it said.  With the signing of these four agreements, the total tally of APAs the CBDT has entered into reached 115. These consist of 108 unilateral and seven bilateral APAs so far. During ...

The Dollar Business Bureau India and Britain have inked three more Bilateral Advance Pricing Agreements (APAs) as a result of an understanding that was reached between the competent authorities of the two countries sometime back. This has taken the total number of APAs signed - both bilateral and unilateral - so far to 111. According to a statement by the Finance Ministry, The Central Board of Direct Taxes (CBDT) signed three APAs covering international transactions in the nature of payment of intra-group service charges pertaining to the telecom industry. They also have a roll-back provision. With the fixing of these pacts, India and the UK have completed five bilateral APAs with some more expected to conclude in the near future. The total number of ...

The Dollar Business Bureau  The Central Board of Direct Taxes (CBDT) on Thursday signed five Unilateral Advance Pricing Agreements (APAs) with Indian taxpayers, making the total number of APAs to 108. “The Central Board of Direct Taxes (CBDT), Department of Revenue, Ministry of Finance entered into five (5) Unilateral Advance Pricing Agreements (APAs) on October 27, 2016 with Indian taxpayers,” said an official release. The APAs cover a number of foreign transactions, such as purchase of raw materials, sale of finished goods, IT enabled services, software development services, interest payment and exports. The agreements are related to various industrial sectors such as IT services manufacturing, etc. These also provide certainty for 5 years to the taxpayers with regard to the covered foreign transactions. With the ...

The Dollar Business Bureau The government on Monday notified the rules for implementing equalisation levy (EQL) or 'Google tax' for taxing the payment transactions for foreign digital firms by Indian businesses that was announced in the Union Budget.  An EQL of 6 percent on services relating to cross border transactions of digital nature will come into force from June 1, 2016. The tax will only be applicable on business-to-business transactions. The Central Board of Direct Taxes (CBDT), in a circular, has announced the rules for EQL and mentioned that the tax will be effective from June 1. The Finance Act 2016 stated that an entity making payment to an overseas firm, which does not have an establishment in India, exceeding Rs 1 ...

The Dollar Business Bureau As the government is in the process of fine-tuning the tax regime with the nations which already have double taxation avoidance agreement (DTAA) with India, the industry body ASSOCHAM has suggested Central Board of Direct Taxes (CBDT) to make some changes in the planned Foreign Tax Credit rules to ascertain the Indian tax payers are subjected to double taxation incidence on income. ASSOCHAM said in a statement “Difference in accounting practices followed by different countries would lead to a double taxation on the income of an Indian taxpayer.” Recently, ASSOCHAM had invited Rani Singh Nair, a member of the CBDT, and held a detailed discussion on the matter.  CBDT has formed a committee to suggest the procedure for grant of Foreign ...