Dear All,
Please answer my following query with regards to transfer pricing:
The case is that shares are transferred from a non resident (Father) to a resident (Son).
Now, whether this is covered in the ambit of transfer pricing or not.
Please clarify.
Thanks in advance.
Regards,
Yash
Yes as "enterprise" means a person and "person" includes an individual.
Thanks for the early reply Mr. Kunal.
Now, what if instead of shares, its advance, and that advance is out of love & affection towards his son.
And if the advance falls under the ambit of TP, how can we prove that its at ALP.
Hey Yash, as it is a one-time transaction it will not fall under ambit of TP..as it says "engaged" in an activity, so if son is engaged in such transactions regularly then TP provisions will apply
CAclubindia
