Income Tax Act, 2025
Section 4: Clause (a) relettered as clause (aa) thereof by s. 55, ibid. (w.r.e.f. 12017).
4. Clause (a) relettered as clause (aa) thereof by s. 55, ibid. (w.r.e.f. 12017).
816
(5) Nothing contained in sub-section (4) shall apply, if, an alternate reporting entity of the
international group has furnished a report of the nature referred to in sub-section (2), with the tax
authority of the country or territory in which such entity is resident, on or before the date specified 1[by
that country or territory] and the following conditions are satisfied, namely:—
(a) the report is required to be furnished under the law for the time being in force in the said
country or territory;
(b) the said country or territory has entered into an agreement with India providing for exchange
of the said report;
(c) the prescribed authority has not conveyed any systemic failure in respect of the said country
or territory to any constituent entity of the group that is resident in India;
(d) the said country or territory has been informed in writing by the constituent entity that it is the
alternate reporting entity on behalf of the international group; and
(e) the prescribed authority has been informed by the 2[entity] referred to in sub-section (4) in
accordance with sub-section (1).
(6) The prescribed authority may, for the purposes of determining the accuracy of the report furnished
by any reporting entity, by issue of a notice in writing, require the entity to produce such information and
document as may be specified in the notice within thirty days of the date of receipt of the notice:
Provided that the prescribed authority may, on an application made by such entity, extend the period
of thirty days by a further period not exceeding thirty days.
(7) The provisions of this section shall not apply in respect of an international group for an
accounting year, if the total consolidated group revenue, as reflected in the consolidated financial
statement for the accounting year preceding such accounting year does not exceed the amount, as may be
prescribed.
(8) The provisions of this section shall be applied in accordance with such guidelines and subject to
such conditions, as may be prescribed.
(9) For the purposes of this section,—
(a) “accounting year” means,—
(i) a previous year, in a case where the parent entity or alternate reporting entity is resident in
India; or
(ii) an annual accounting period, with respect to which the parent entity of the international
group prepares its financial statements under any law for the time being in force or the applicable
accounting standards of the country or territory of which such entity is resident, in any other case;
3[(b) “agreement” means a combination of all of the following agreements, namely:––
(i) an agreement entered into under sub-section (1) of section 90 or sub-section (1) of
section 90A; and
(ii) an agreement for exchange of the report referred to in sub-section (2) and notified by the
Central Government;]
(c) “alternate reporting entity” means any constituent entity of the international group that has
been designated by such group, in the place of the parent entity, to furnish the report of the nature
referred to in sub-section (2) in the country or territory in which the said constituent entity is resident
on behalf of such group;
relettered as clause
thereof by s. 55, ibid. (w.r.e.f. 12017).
816
Nothing contained in sub-section
shall apply, if, an alternate reporting entity of the
international group has furnished a report of the nature referred to in sub-section
the report is required to be furnished under the law for the time being in force in the said
country or territory;
the said country or territory has entered into an agreement with India providing for exchange
of the said report;
the prescribed authority has not conveyed any systemic failure in respect of the said country
or territory to any constituent entity of the group that is resident in India;
the said country or territory has been informed in writing by the constituent entity that it is the
alternate reporting entity on behalf of the international group; and
the prescribed authority has been informed by the 2[entity] referred to in sub-section
in
accordance with sub-section
The prescribed authority may, for the purposes of determining the accuracy of the report furnished
by any reporting entity, by issue of a notice in writing, require the entity to produce such information and
document as may be specified in the notice within thirty days of the date of receipt of the notice:
Provided that the prescribed authority may, on an application made by such entity, extend the period
of thirty days by a further period not exceeding thirty days.
The provisions of this section shall not apply in respect of an international group for an
accounting year, if the total consolidated group revenue, as reflected in the consolidated financial
statement for the accounting year preceding such accounting year does not exceed the amount, as may be
prescribed.
The provisions of this section shall be applied in accordance with such guidelines and subject to
such conditions, as may be prescribed.
For the purposes of this section,—
“accounting year” means,—
a previous year, in a case where the parent entity or alternate reporting entity is resident in
India; or
an annual accounting period, with respect to which the parent entity of the international
group prepares its financial statements under any law for the time being in force or the applicable
accounting standards of the country or territory of which such entity is resident, in any other case;
3[
“agreement” means a combination of all of the following agreements, namely:––
an agreement entered into under sub-section
of section 90 or sub-section
of
section 90A; and
an agreement for exchange of the report referred to in sub-section
and notified by the
Central Government;]
“alternate reporting entity” means any constituent entity of the international group that has
been designated by such group, in the place of the parent entity, to furnish the report of the nature
referred to in sub-section
in the country or territory in which the said constituent entity is resident
on behalf of such group;