India will renegotiate its tax treaties with Germany, France, Singapore, Italy and South Korea to pave the way for bilateral advance pricing agreements (APAs) with these countries. If renegotiation takes long, it might also consider unilaterally changing its position in the treaties to allow multinationals sign APAs in India and avoid conflicts with tax authorities over their share of taxes.“There are two options: You negotiate tax treaties, but that is time-consuming. The second is: The government unilaterally changes its position, but not everybody in the tax department is on board for that. We are working on both,” said a finance ministry official, who did not wish to be identified.

Source - http://www.business-standard.com