Arm's-length pricing for dealings with your group companies — transfer pricing study, documentation and Form 3CEB.
Indian tax law requires that transactions between an Indian company and its foreign parent or other associated enterprises, such as management fees, royalties, loans, sales of goods or provision of services, be priced as they would be between independent parties. The Indian entity must report every such international transaction in Form 3CEB, certified by a chartered accountant, and keep a transfer pricing study that justifies the pricing with comparable data when the aggregate value crosses the prescribed threshold. Fastlegal prepares the benchmarking study, the documentation and the Form 3CEB filing, and supports you if the tax office questions the pricing.
One fixed professional fee, inclusive of GST, agreed with you before any work starts — no hourly billing, no surprises, and nothing charged until you approve it. Database subscription or benchmarking data charges, if any, and penalties for non-compliance payable at actuals.
Subscribe to annual transfer pricing compliance and pay online in INR or by international card; we scope your related-party transactions on a call.
Upload financials, group agreements and the related-party ledger to your Fastlegal dashboard.
We perform the FAR analysis, run the benchmarking, prepare the study report and documentation, and file Form 3CEB certified by a chartered accountant.
Track progress in your dashboard and download the study report, documentation and the filed Form 3CEB acknowledgement.
Any Indian taxpayer that has entered into an international transaction with an associated enterprise during the year, regardless of amount, must file Form 3CEB. Certain specified domestic transactions above the prescribed value are also covered.
A detailed transfer pricing study is mandatory once the aggregate value of international transactions in the year exceeds the prescribed threshold under current rules. Below it, the entity must still be able to show that pricing is at arm's length, so we recommend at least a basic analysis.
Form 3CEB is due by 31 October following the financial year under current rules, unless the government extends it, and the income tax return of a company with transfer pricing obligations is due by 30 November. We plan the benchmarking well ahead so the audit and tax return are not held up.
Penalties apply for failing to file Form 3CEB, for not maintaining documentation and for not furnishing it when asked, and the tax officer may adjust the taxable income if pricing is found not to be at arm's length. Proper documentation is the main defence.
Yes. The analysis is based on financial data, agreements and descriptions of your operations shared through the dashboard, and the form is filed digitally by the certifying chartered accountant.
The master file gives a group-wide picture of the business, intangibles and financing. Under current rules it is required in India only when the international group's consolidated revenue and the Indian entity's international transactions exceed prescribed thresholds; we check whether your group crosses them each year.
Transfer Pricing Compliance in India
Form 3CEB filed before the due date (31 October under current rules, unless extended)