The Central Board of Direct Taxes (CBDT) announced that a historic total of 174 Advance Pricing Agreements (APAs) were finalized with Indian taxpayers during the financial year 2024-25.
The APA framework is designed to offer tax “certainty” to organizations regarding transfer pricing by outlining pricing methodologies and establishing the arm’s length price for international transactions in advance, with a validity of up to five years.
Bilateral APAs provide the additional advantage of safeguarding against the risk of both potential and actual double taxation.
The Central Board of Direct Taxes (CBDT), which oversees the Income-Tax Department’s administration and policy, announced that it has established a historic total of 174 Advance Pricing Agreements (APAs) with Indian taxpayers in the fiscal year 2024-25.
