Transfer Pricing in India: A Financial Case Study Analysis

This case study provides a detailed analysis of transfer pricing in the context of the Indian financial landscape. It begins with an introduction to transfer pricing, its significance, and the rationale behind the study. The study's objectives include investigating the concept of transfer pricing in international corporate scenarios, analyzing Indian transfer pricing legislations and standard provisions, critically examining various transfer pricing methods applied by Indian establishments, and comparing Indian case laws with those of the European Court of Justice. The research methodology encompasses research philosophy, approach, type, design, data collection, and analysis. The study then delves into the overview of the transfer pricing mechanism in India, examining Indian TP laws, inter-company transactions, and a comparison of domestic laws with international practices. Various transfer pricing methods such as CUP, CPM, RPM, TNMM and PSM are discussed. The research also explores the OECD TP guidelines and BEPS of transfer pricing in India, culminating in conclusions, recommendations, and a comprehensive list of references. The case study aims to provide a thorough understanding of transfer pricing's financial aspects and its practical application in India.