An Advance Pricing Authority is an agreement between a tax payer...

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An Advance Pricing Authority is an agreement between a tax payer and tax authority determining the transfer pricing methodology for pricing the tax payers international transactions for future years. The APA shall be valid for which of the following period as may be specified in the agreement?

A. For such period not exceeding 5 consecutive previous years

B. For such period not exceeding 10 consecutive previous years

C. For such period not exceeding 2 consecutive previous years

D. For such period not exceeding 3 consecutive previous years

Answer: Option A


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