CHAPTER X

SPECIAL PROVISIONS RELATING TO AVOIDANCE OF TAX

Power of Board to make safe harbour rules.

92CB. ¹(1) The determination of––

(a) income referred to in clause (i) of sub-section (1) of section 9; or

(b) arm’s length price under section 92C or section 92CA, 

shall be subject to safe harbour rules.

(2) The Board may, for the purposes of sub-section (1), make rules for safe harbour.

Explanation.—For the purposes of this section, “safe harbour” means circumstances in which the income-tax authorities shall accept ²the transfer price or income, deemed to accrue or arise under clause (i) of sub-section (1) of section 9, as the case may be, declared by the assessee

Note:

1. Substituted by the Finance Act, 2020.    Amendment Effective From 01st April, 2020 

for sub-section (1),

(1) The determination of arm’s length price under section 92C or section 92CA shall be subject to safe harbour rules.

the following shall be substituted namely;

(1) The determination of––

(a) income referred to in clause (i) of sub-section (1) of section 9; or

(b) arm’s length price under section 92C or section 92CA, shall be subject to safe harbour rules.

2. Substituted by the Finance act,2020 Amendment Effective From 01st April, 2020

For the words 

the transfer price declared by the assessee.

Following words shall be substituted namely,

the transfer price declared by the assessee.