Transfer pricing revenue to rise Rs 3,000 cr in 2013-14

With the Finance Act bringing domestic transactions under the transfer pricing scanner, income tax revenue is expected to rise by Rs 3,000 crore in 2013-14, said tax authorities.“We will start looking at domestic deals for the first time this financial year. We expect 50 per cent of domestic companies to be affected by this, increasing the revenue of the income tax department by Rs 3,000 crore,” said a Mumbai based senior income tax official.Transfer pricing adjustments in 2007-08 stood at about Rs 1,600 crore, increasing to Rs 44,500 crore in 2011-12. Earlier, transfer pricing was applicable on companies with cross-border operations. However, from this financial year, the finance minister has brought domestic firms and transactions into the net.