Don't forget your TPS!

Thinking of expanding your business to a foreign country? You may consider getting a reliable Transfer Pricing Study (TPS). Here are a few reasons why it may be in the best interest of your company.

Operating in multiple countries can be challenging. In particular, dealing with different tax legislations and agencies can be difficult. Regulations can change from country to country, often in subtle ways, and they also change from time to time within each country. A TPS brings expert tax advice on regulation changes and foreign transfer pricing policies to help you avoid common mistakes and sub-optimal strategies. A TPS can also help you exploit opportunities from the onset of your new foreign business, such as advice on how to maximize tax advantages, income allocation, and deductions.

Our experts are able to provide assistance in the preparation of the necessary documents adhering to the guidelines of the Organisation for Economic Co-operation and Development (OECD). They will elaborate the Technical Study holding information to analyze transfer prices in operations between a company and its subsidiaries, considering formalities required by tax rules, and the practice and case history of each country. Our experts manage setting “arm's length” pricing models, and evaluate intercompany transactions in relation to the cost of goods and services you provide. The methodologies we use conform to the guidelines set forth by the appropriate tax agencies as to avoid unnecessary penalties and additional taxes.

photo credit: Karolina Grabowska