Rule 83 — Time period for repatriation of excess money under section 170(2) and computation of interest income under section 170(4) pursuant to secondary adjustments
Parent Act Section(s): Section 159, Section 167, Section 168
Full Text
- Time period for repatriation of excess money under section 170(2) and computation of interest income under section 170(4) pursuant to secondary adjustments.— (1) For the purposes of section 170(2)(b), the time limit for repatriation of excess money or part thereof in the circumstances mentioned in column B of the following Table shall be on or before ninety days from the date mentioned in column C thereof: TABLE Sl. Circumstances Date No. A B C
- Primary adjustments to transfer price have been made suo motu by the Due date of furnishing of return assessee in his return of income. under section 263(1).
- Primary adjustments to transfer price as determined in the order of As- Date of the order of Assessing sessing Officer or the appellate authority has been accepted by the as- Officer or the appellate authori- sessee. ty, as the case may be.
- Primary adjustment to transfer price is determined by an advance pricing Due date of furnishing of return agreement entered into by the assessee under section 168 in respect of a under section 263(1). tax year on or before the due date of furnishing of return for the relevant tax year.
- Primary adjustment to transfer price is determined by an advance pricing End of the month in which the agreement entered into by the assessee under section 168 in respect of a advance pricing agreement has tax year after the due date of furnishing of return for the relevant tax year. been entered into.
- Option is exercised by the assessee as per the safe harbour rules under Due date of furnishing of return section 167. under section 263(1).
- Primary adjustment to transfer price is determined by the resolution ar- Date of order giving effect un- rived at under mutual agreement procedure under a Double Taxation der rule 121(10) to such resolu- Avoidance Agreement entered into under section 159 (1) or (2). tion. (2) The imputed per annum interest income on excess money or part thereof, which is not repatriated within the time limit as per sub-rule (1) shall be computed — (a) at the one-year marginal cost of fund lending rate of the State Bank of India as on the 1st April of the relevant tax year plus 325 basis points in the cases where the international transaction is denominated in Indian rupee; or (b) at the reference rate of the relevant foreign currency, as defined in rule 89(3), as on the 30th September of the relevant tax year plus 300 basis points in the cases where the international transaction is denominated in foreign currency. (3) The interest referred to in sub-rule (2) shall be chargeable on excess money or part thereof which is not repatriated in cases referred to in column B of the Table in sub-rule (1) from the date mentioned in column C thereof. (4) For this rule, the exchange rate for conversion of the value of international transactions denominated in foreign currency into Indian rupees, shall be the telegraphic transfer buying rate of such currency on the last day of the tax year in which the transaction was undertaken and the ―telegraphic transfer buying rate‖ shall have the meaning assigned to in rule 207.
Cross-References
Act Sections Referenced
Related Rules
Practical Notes
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