sonam (Proprietrix) (81 Points)
02 December 2011Hi Professionals
My client is a wholly owned subsidiary of a foreign company.
Indian co has purchased materials for Rs.68.59 lakhs
Taken ECB of Rs. 22.75 lakh
other borrowing of Rs. 64.72 lakhs
Is transfer pricing audit applicable to them? kindly explain the 1 crore limit for international transaction
Dipjyoti Majumdar
(CA in service & CS. dipmaj@ rediffmail.com )
(3468 Points)
Replied 02 December 2011
There is no concept of TP audit. You need to submit 3CEB with Dept duly certified by a CA in practice on or before 30 nov, 11. This is even if international transaction with AE is 1 rupee.
Probably what you are hinting at is TP report documentation as per Rule 10D. This documentation is not required if the transaction value is limited to 1 crore.
regards,
CAclubindia
