THE THRESHOLD FOR AVAILING SAFE HARBOUR FOR IT SERVICES ENHANCED FROM RS 300 CRORE TO Rs 2000 CRORE

• Safe Harbour under transfer pricing is a regime where the Income Tax Department accepts the transfer price declared by an eligible assessee without scrutiny, if margins meet prescribed thresholds.
• Union Budget 2026-27 raised the turnover ceiling for IT-services safe harbour ~6.7× (₹300 cr → ₹2000 cr) and clubbed four sub-segments under one common margin of 15.5%.
• Relevant for GS-III (Indian economy, taxation, IT/ITES sector) — tests transfer-pricing fundamentals and ease-of-doing-business reforms.