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Transfer pricing is a tax planning strategy used by multinational companies to allocate profits among different countries. It involves setting prices for goods and services exchanged between related entities within a company, such as a parent company and its subsidiaries. The goal is to minimize the overall tax burden by shifting profits to countries with lower tax rates. Transfer pricing is a complex area of taxation, and companies must comply with the laws of each country in which they operate.
The transfer pricing market is highly competitive, with a range of providers offering services such as tax planning, compliance, and dispute resolution. Companies in the market include Big Four accounting firms, specialist transfer pricing firms, and law firms. These companies provide advice and assistance to multinational companies on transfer pricing issues, helping them to optimize their tax position and minimize their tax liabilities. Show Less Read more
