India Customs Scrutinizing Transfer Pricing by Multinational Companies, Report Says

India customs is more closely scrutinizing transfer pricing methodologies of several multinationals that could lead to challenges to the valuation of their related party imports and exports, according to a report in the Economic Times. Under an initiative first launched in 2016, India’s customs and income tax authorities are now finally beginning to share trade and tax data, respectively, the report said. Previously, the two agencies didn’t share data, so companies could get away with “information arbitrage” in some cases, it said. No “notices” have been issued yet to multinationals, but they could come in the coming months in some cases, the report said.