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Transfer Pricing

Transfer Pricing

Development and implementation of economically supportable transfer pricing.

Development and implementation of economically supportable transfer pricing.

Namely driven by the global political debate on corporate taxes due to the challenges facing tax authorities in a globalised economy, transfer pricing continues to be a top focus area for tax authorities and multinational enterprises around the world. Many countries have introduced ever more stringent transfer pricing regulation, including significant penalties for non-compliance, supported by OECD guidance and policy papers. This, combined with the increasing number of audits and disputes both with and between tax authorities, makes it more important than ever that multinational enterprises are diligent in determining their transfer pricing policies, and are able to document that all controlled transactions are conducted in accordance with the arm's length principle. Further, all transfer pricing policies must have found their way from abstract intention to actual implementation, showcased in the management accounting systems.

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