Understanding this service.
Transfer pricing
Transfer pricing concerns pricing and documentation for relevant related-party transactions. The relationships between the parties, the nature of the transactions and applicable requirements shape the questions to consider.
FEMA
FEMA concerns India’s foreign-exchange framework and relevant cross-border transactions. The parties, transaction structure and movement of funds may be relevant to a discussion.
These topics are not interchangeable. A foreign transaction does not automatically mean transfer-pricing work is required, and the scope of a FEMA matter must be considered on its own facts.
When businesses typically need this.
- You are considering a transaction involving related parties.
- A cross-border business arrangement raises foreign-exchange questions.
- You need to distinguish the transfer-pricing and FEMA aspects of a matter.
What to discuss with us.
- The parties, relationships and jurisdictions involved.
- The nature and purpose of the proposed or existing transaction.
- Relevant agreements and timing, described without sharing confidential documents in the form.
- Which questions concern pricing and which concern foreign exchange.
Frequently asked questions.
Are transfer pricing and FEMA the same thing?
No. Transfer pricing concerns relevant related-party pricing and documentation. FEMA concerns India’s foreign-exchange framework. They may intersect but address different questions.
Does every foreign transaction require transfer-pricing work?
No. The relationships, transaction and applicable requirements must be considered. A cross-border element alone is not enough to reach that conclusion.
What should my first enquiry describe?
Give a brief overview of the parties, their relationship and the transaction you want to discuss. Do not include bank details, agreements or sensitive financial documents through the form.