India Vows Flexibility on Intercompany Transactions Amid Virus

The Indian government will be sensitive to changes companies make in their intercompany pricing transactions as a result of the Covid-19 pandemic, a tax officer said.

There is no reason that a change of transfer pricing arrangements can’t be accepted as long as taxpayers do their work and provide appropriate documentation, Sobhan Kar, a director at the Indian income tax department, said during a webinar Thursday hosted by the Indian branch of the International Fiscal Association.

“How and why it will happen will be dependent on the facts of each case,” he said. Transfer pricing values intercompany transactions based ...