Rule 83 of Income Tax Rules - Time period for repatriation of excess money under section 170(2) and computation of interest income under section 170(4) pursuant to secondary adjustments.

Last Updated: 01-04-2026

83. Time period for repatriation of excess money under section 170(2) and computation of interest income under section 170(4) pursuant to secondary adjustments.^{^[i]}

(1) For the purposes of section 170(2)(b), the time limit for repatriation of excess money or part thereof in the circumstances mentioned in column B of the following Table shall be on or before ninety days from the date mentioned in column C thereof:

TABLE

Sl. No.	Circumstances	Date
A	B	C
1.	Primary adjustments to transfer price have been made suo motu by the assessee in his return of income.	Due date of furnishing of return under section 263(1).
2.	Primary adjustments to transfer price as determined in the order of Assessing Officer or the appellate authority has been accepted by the assessee.	Date of the order of Assessing Officer or the appellate authority, as the case may be.
3.	Primary adjustment to transfer price is determined by an advance pricing agreement entered into by the assessee under section 168 in respect of a tax year on or before the due date of furnishing of return for the relevant tax year.	Due date of furnishing of return under section 263(1).
4.	Primary adjustment to transfer price is determined by an advance pricing agreement entered into by the assessee under section 168 in respect of a tax year after the due date of furnishing of return for the relevant tax year.	End of the month in which the advance pricing agreement has been entered into.
5.	Option is exercised by the assessee as per the safe harbour rules under section 167.	Due date of furnishing of return under section 263(1).
6.	Primary adjustment to transfer price is determined by the resolution arrived at under mutual agreement procedure under a Double Taxation Avoidance Agreement entered into under section 159(1) or (2).	Date of order giving effect under rule 121(10) to such resolution.

(2) The imputed per annum interest income on excess money or part thereof, which is not repatriated within the time limit as per sub-rule (1) shall be computed —

(a) at the one-year marginal cost of fund lending rate of the State Bank of India as on the 1st April of the relevant tax year plus 325 basis points in the cases where the international transaction is denominated in Indian rupee; or

(b) at the reference rate of the relevant foreign currency, as defined in rule 89(3), as on the 30th September of the relevant tax year plus 300 basis points in the cases where the international transaction is denominated in foreign currency.

(3) The interest referred to in sub-rule (2) shall be chargeable on excess money or part thereof which is not repatriated in cases referred to in column B of the Table in sub-rule (1) from the date mentioned in column C thereof.

(4) For this rule, the exchange rate for conversion of the value of international transactions denominated in foreign currency into Indian rupees, shall be the telegraphic transfer buying rate of such currency on the last day of the tax year in which the transaction was undertaken and the ―telegraphic transfer buying rate‖ shall have the meaning assigned to in rule 207.

[i] This Rule was inserted by N No. 22/2026 dt. 20-03-2026 wef 01-04-2026.

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Rule 83 of Income Tax Rules - Time period for repatriation of excess money under section 170(2) and computation of interest income under section 170(4) pursuant to secondary adjustments.