Section 92E: Accountant's Report for International and Specified Domestic Transactions

Section 92E of the Income-tax Act, 1961 requires a person who entered into an international transaction or specified domestic transaction during a previous year to obtain an accountant's report and furnish it in the prescribed form by the specified date. For tax years governed by the Income-tax Act, 2025, the corresponding obligation appears in Section 172.

Meaning and statutory requirement

Section 92E provides that every person who has entered into an international transaction or specified domestic transaction during a previous year shall obtain a report from an accountant and furnish it on or before the specified date, duly signed and verified in the prescribed form, setting out the prescribed particulars. The requirement is transaction-based: it is not limited to cases in which a transfer pricing adjustment is ultimately made.

An international transaction is defined by Section 92B, generally covering qualifying transactions between associated enterprises involving a non-resident, subject to the statutory conditions and deeming provisions. Specified domestic transactions are defined in Section 92BA and are subject to the statutory aggregate-value threshold and covered categories. The meaning of an associated enterprise is set out in Section 92A.

Form 3CEB and Form No. 48

The accountant reports particulars of relevant transactions, including the nature and value of transactions and transfer pricing information required by the form. The report should be reconciled with the books, intercompany agreements and transfer pricing documentation. The prescribed form is not a substitute for maintaining records under Section 92D.

Due date for the accountant's report

Under the 1961 Act, the specified date under Section 92F is one month before the applicable return-filing due date. Ordinarily, Form 3CEB is due on 31 October of the relevant assessment year where the return due date is 30 November. Under Section 172 read with Section 173 and Rule 85 of the 2026 Rules, Form No. 48 is required at least one month before the applicable return due date under Section 263(1). Statutory extensions and notifications may change a particular year's deadline.

Practical compliance steps

1. Identify all associated enterprises and review cross-border and specified domestic dealings, including transactions covered by deeming provisions.
2. Check the relevant Act, prescribed reporting form and applicable reporting threshold or classification rules.
3. Prepare contemporaneous transfer pricing records, agreements, financial reconciliations and arm's length analysis.
4. Engage an eligible accountant, complete the prescribed report accurately and submit it electronically using the Income Tax Department's prescribed process.
5. Retain filing acknowledgements and supporting documents and respond to any lawful information request.

Penalty and other consequences

For periods governed by the 1961 Act, Section 271BA provides for a penalty of Rs. 1,00,000 for failure to furnish the report required under Section 92E, subject to applicable statutory relief, including Section 273B where its conditions are met. Separate provisions may apply to failures concerning documentation or inaccurate reporting. For tax years under the 2025 Act, consult the corresponding penalty provisions and rules rather than assuming older section numbers apply unchanged.

Illustrative example

An Indian company pays service fees to its overseas associated enterprise during a year covered by the reporting provisions. Even if the company considers the charge to be at arm's length, it must examine whether the transaction is reportable and obtain the prescribed accountant's report. The accountant's report and underlying transfer pricing study serve different purposes and should be consistent.

Official statutory sources and guidance

• Income Tax Department: Section 92E (1961 Act)
• Income Tax Department: Section 172 (2025 Act)
• Income Tax Department: Form No. 48 official FAQs
• Income Tax Department: Transfer pricing guidance
• Income-tax Act, 2025 (official PDF)

Frequently asked questions

Is the accountant's report required if no adjustment is proposed?

Yes. The reporting obligation depends on entering into a covered transaction, not on whether a transfer pricing adjustment is proposed.

Which form replaces Form 3CEB under the 2025 Act?

Form No. 48 under Rule 85 of the Income-tax Rules, 2026, is the corresponding report for Section 172.

Is Form 3CEB the same as a transfer pricing study?

No. The prescribed accountant's report is a filing requirement; supporting documentation and arm's length analysis are maintained separately under applicable rules.

This article is general legal information. Filing obligations and due dates depend on the relevant tax year, applicable notifications and individual facts.