International Tax &
Transfer Pricing
PARAMA & Co advises foreign companies on all cross-border tax matters relating to India operations - DTAA, transfer pricing, PE risk, withholding tax and CBCR.
Led by Managing Partner Paramnoor Singh (CA & CS). India has signed DTAAs with 90+ countries including the UK, USA, Germany, France, Singapore, Japan, UAE, Netherlands, Switzerland and Australia.
Our Services
International Tax Services
Transfer Pricing Documentation
TP documentation per Sections 162-173 of the Income Tax Act. Benchmarking studies. Inter-company agreements. CBCR filings (Form 3CEAD). Master File (Form 3CEAA). Form 48 (earlier 3CEB). TP litigation representation.
DTAA Advisory
Analyse applicable DTAA for each cross-border transaction. Identify reduced WHT rates and exemptions. Form 145 and Form 146 (earlier 15CA and 15CB) certifications for all foreign remittances.
International Tax Planning
Choice of holding jurisdiction, investment vehicle (equity vs. debt), repatriation structure and capital gains planning for foreign funds with India investments.
Withholding Tax (TDS on Foreign Payments)
WHT advisory on royalties, FTS, dividends, interest and capital gains. Form 41 (earlier 10F), Form 145, Form 146 filing and management.
PE (Permanent Establishment) Analysis
Detailed PE risk assessment under Income Tax Act and applicable DTAA. Mitigation strategy. Where PE exists: tax return filing and representation before authorities.
Cross-Border Transaction Advisory
Tax advisory on M&A, JVs, royalty structures and management fee arrangements - FEMA, pricing, documentation and approvals.
Capital Gains & Indirect Transfer
Advisory on indirect transfer provisions, exemptions, DTAA benefits and WHT compliances for foreign funds exiting Indian investments.
Tax Dispute Resolution
Representation in TP disputes and international tax assessments before CIT(A) and ITAT. APA and MAP advisory.
Reference
Key DTAA Countries &
Sample WHT Rates
India's tax treaties can significantly reduce withholding tax on dividends, interest, royalties and fees for technical services. The table below is indicative - actual rates depend on specific transaction type and qualifying conditions.
| Country | Dividends (Treaty Rate) | Interest (Treaty Rate) | Royalties (Treaty Rate) | FTS (Treaty Rate) |
|---|---|---|---|---|
| United Kingdom | 10-15% | 10-15% | 10-15% | 10-15% |
| USA | 15-25% | 10-15% | 10-15% | 10-15% |
| Singapore | 10-15% | 10-15% | 10% | 10% |
| Germany | 10% | 10% | 10% | 10% |
| Netherlands | 10% | 10% | 10% | 10% |
| UAE | Nil* | 5-12.5% | 10% | N/A |
| Japan | 10% | 10% | 10% | 10% |
| France | 10% | 10% | 10% | 10% |
* Subject to qualifying conditions. Rates are indicative only. Please contact PARAMA & Co for advice applicable to your specific transaction.
Form 145 / Form 146 (15CB - 15CA) Quick Reference
| Form | What It Is / Who Files |
|---|---|
| Form 145 / 15CB | Certificate from a CA confirming applicable taxes have been paid on a foreign remittance. PARAMA & Co issues 15CB certificates. |
| Form 146 / 15CA | Online declaration filed by the remitter before making the foreign payment. PARAMA & Co prepares and files on behalf of clients. |
FAQs
International Tax FAQs
Does my foreign company need to file a tax return in India?
A foreign company is taxable in India on income accruing or received in India. If the company has a PE in India, or derives royalties, FTS, dividends, interest or capital gains from Indian sources, it must file an Indian income tax return.
What is the mandatory TP documentation threshold in India?
Transfer pricing documentation is mandatory where international transactions exceed Rs.1 crore in aggregate. Form 48/Form 3CEB (TP audit report from a CA) is also required. PARAMA & Co prepares both the documentation and the audit report.
What is CBCR and who needs to file it?
Country-by-Country Reporting (CBCR) is required for Indian constituent entities of MNC groups with consolidated global revenue of approximately Rs.6500 crore (around EUR 750 million) or more. PARAMA & Co prepares and files Form 3CEAD and 3CEAA.
What is PE risk for a foreign company in India?
A foreign company creates a PE in India if it has a fixed place of business, a dependent agent, or employees who habitually conclude contracts in India. A PE makes the foreign company liable to Indian income tax on profits attributable to it. PARAMA & Co advises on PE risk assessment and mitigation.
Cross-Border Tax Questions?
Our international tax team responds to enquiries within one business day.