A broad agreement on a framework for resolving disputes pending in mutual agreement procedure (MAP) cases—concerning the information technology / information technology-enabled services sector—was reached following a two-day discussion between India’s Competent Authority and the U.S. Competent Authority. The announcement from India’s Competent Authority signals that, going forward, the United States could possibly recognize India’s advance pricing agreement (APA) program and begin accepting bilateral APA applications.
Reports indicate that between 80 to 100 pending MAP cases for multiple years in the IT sector could now be resolved within a few weeks.
Read a January 2015 report [PDF 376 KB] prepared by the KPMG member firm in India: Pending Mutual Agreement Procedure cases for IT-ITES sector to be resolved
The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.