Cross-Border Tax & Transfer Pricing Advisory, India

One transaction, five rulebooks.

When an Indian subsidiary invoices its foreign parent, that single invoice is tested under transfer pricing law, GST law, FEMA, the withholding-tax provisions and the Companies Act — and every one of those regulators reads the same intercompany agreement. Most cross-border problems we see are not caused by any one rule; they are caused by advice given on one rule in isolation. This practice exists to look at the whole flow at once.

The Income-tax Act, 2025 and the Income-tax Rules, 2026 took effect on 1 April 2026, renumbering sections and renaming forms. Our documentation cites both the old and the new references, because existing agreements, prior-year files and most people searching for answers still use the old ones.

Who this is for

Indian wholly-owned subsidiaries and captives of foreign groups — software development, ITeS, R&D, back-office and support centres
Foreign companies setting up or already operating in India through a subsidiary, branch or project office
Indian companies with foreign subsidiaries, overseas investments or cross-border group charges
Finance teams facing their first transfer pricing audit, a GST refund rejection or a FEMA compounding

What we handle

Transfer Pricing

Benchmarking studies, safe harbour evaluation and opt-in, transfer pricing documentation and master file, the accountant's report on international transactions, assessment support and Advance Pricing Agreement groundwork.

Intercompany & Master Service Agreements

Drafting and reviewing related-party service agreements: scope, cost base and pass-through costs, markup mechanics, invoicing and year-end true-ups, IP and data clauses, board approvals and signing formalities.

GST on Cross-Border Services

Export-of-services analysis, place of supply, Letter of Undertaking, export invoice requirements, refund of unutilised input tax credit, reverse charge on imported services, and the treatment of reimbursements between group entities.

Withholding Tax & Foreign Remittances

Forms 145 and 146 (formerly 15CA/15CB), treaty rate analysis, tax residency certificates and No-PE declarations, royalty and fees-for-technical-services characterisation, and export-proceeds realisation compliance.

FEMA & RBI Compliance

FDI reporting (FC-GPR, FC-TRS, the FLA return), overseas direct investment and its annual reporting, external commercial borrowing basics, capital-account pricing, and compounding where a filing was missed.

Structure & Permanent Establishment Review

Secondment arrangements, dependent-agent and service PE exposure, place of effective management, shareholder versus chargeable costs, and remediation where the current structure no longer matches the paperwork.

How an engagement typically runs

We start with the actual flow of services, money and people between the entities — not with the agreement someone drafted three years ago. From that map we settle the transfer pricing position and the GST treatment, then align the intercompany agreement, the invoices, the remittance paperwork and the FEMA filings to it. The output is a set of documents that say the same thing to every regulator, and a compliance calendar so they stay that way.

Frequently asked questions

Does an Indian subsidiary need a transfer pricing study if it only bills its foreign parent?

Yes. A subsidiary that invoices only its parent is the textbook case of an international transaction with an associated enterprise: the price must be at arm's length and must be documented. Whether a benchmarking study or the safe harbour route is the better fit depends on the nature of the services and the transaction value — we assess that first, then document.

Is every service exported by an Indian company to a foreign group company zero-rated under GST?

No. Zero-rating depends on the place of supply, who the recipient is, where the consideration comes from, and whether the two entities are treated as distinct persons. Intermediary arrangements and certain reimbursements are common exceptions. We map the actual service flow before deciding the GST treatment.

What changed on 1 April 2026 under the Income-tax Act, 2025?

The Income-tax Act, 2025 and Income-tax Rules, 2026 replaced the 1961 Act with renumbered sections and renamed forms. Most substantive obligations — transfer pricing, withholding on foreign remittances, treaty relief — continue, but the references used in filings and agreements have changed. Our deliverables cite both the old and new references so your documents, and the people still searching old section numbers, line up.

What are Forms 145 and 146?

They are the remitter's declaration and the chartered accountant's certificate that accompany most outward foreign remittances under the Income-tax Act, 2025 — the successors to Forms 15CA and 15CB. Whether a certificate is needed, and at what withholding rate, depends on the nature of the payment and the treaty position of the recipient.

Can one team handle both the Indian and the foreign side of a transaction?

For India-side tax, GST, FEMA and documentation — yes, that is this practice. For foreign-country filings we coordinate with correspondent advisors in that jurisdiction, most often the United States, so the intercompany agreement, the transfer pricing position and the tax filings on both sides tell one consistent story.

Cross-Border Tax & Transfer Pricing