Transfer Pricing Consultation
Transfer pricing is a profit allocation method (the other being formulary apportionment) used to attribute a multinational corporation's net profit (or loss) before tax to countries where it does business. Transfer pricing results in the setting of prices among divisions within an enterprise. Transfer prices are charges for goods and services between controlled (or related) legal entities within an enterprise. Legal entities considered under the control of a single corporation include branches and companies that are wholly or majority owned ultimately by the parent corporation. Certain jurisdictions consider entities to be under common control if they share family members on their boards of directors.
In principle, a transfer price should match either what the seller would charge an independent, arm's length customer, or what the buyer would pay an independent, arm's length supplier. While unrealistic transfer prices do not affect the overall enterprise directly, they become a concern when they are misused to lower profits in a division of an enterprise that is located in a country that levies high taxes, and raise profits in a country that levies no or low taxes, as a tax haven. Transfer pricing is the major tool for corporate tax avoidance.
Services we provide for Transfer Pricing Consultation to our clients
- Transfer Pricing Audits, Consulting and Advisory services
- Training of Employees Handling National / International related party transactions
- Transfer Pricing Documentation Assistance
- Transfer Pricing Studies and Analysis
- Transfer Pricing Litigation Support
- Transfer Pricing valuation officer or Transfer Pricing tax assessing authorities, or appellate authorities in Bangalore - or in any part of India