Transfer Pricing

Europe

EU Commission releases decision extending scope of State aid investigation into IKEA’s Dutch taxation

July 14, 2020

The European Commission on July 19 released a copy of its decision to widen the scope of its in-depth investigation into the Netherlands’ tax treatment of an IKEA subsidiary . . .

Americas

Canada Appeals Court rules in Cameco’s transfer pricing dispute involving Swiss subsidiary

July 14, 2020

Warren Novis, Head of Transfer Pricing at BDO, Ireland, discusses the Canada Federal Court of Appeal’s decision in Cameco, a long-standing transfer pricing dispute . . .

Asia-Pacific

Australia claims Alcoa owes 921m (USD 640m) additional tax and interest in transfer pricing dispute, says alumina sales to Bahrain unit were underpriced: Brad Thompson / Financial review→

July 10, 2020

Europe

EU General Court decisions on Ireland v Commission, Apple v Commission expected next week

July 9, 2020

The EU General Court will release its decisions in the Apple state aid cases — Ireland v Commission and Apple Sales International . . .

Africa

New OECD country-by-country reporting statistics offer insight into multinational group tax avoidance behavior

July 8, 2020

Susi Baerentzen, an Industrial Ph.D. Student at Innovation Fund Denmark discusses the OECD’s July 9 release of data on 4,000+ MNE groups . . .

Africa

UN committee to draft model tax treaty provisions addressing digital economy, transfer pricing manual updates approved

July 8, 2020

The UN Committee of Experts on International Cooperation in Tax Matters, at its 20th session, agreed to consider adding new provisions addressing the taxation of the digital economy to the UN Model Double Taxation Convention between Developed and Developing Countries, UN officials . . .

Asia-Pacific

New Saudi Arabia tax guidance addresses mutual agreement procedure

July 8, 2020

Asmae Bazaani and Mohammed Abu-Hijleh of Deloitte Middle East, Dubai, discuss new Saudi Arabia tax guidance, published on June 9, on the mutual agreement procedure (MAP) in tax treaties . . .

Denmark

Denmark Supreme Court rules in favor of Adecco in landmark transfer pricing decision

July 1, 2020

Susi Baerentzen, an Industrial Ph.D. Student at Innovation Fund Denmark, discusses the Denmark Supreme Court’s June 25 decision in the Adecco case, a dispute involving the tax deductibility of royalties and the sufficiency of transfer pricing documentation . . .

Americas

First look: Cameco Corp. prevails in landmark in transfer pricing case

July 1, 2020

On June 26, Canada’s Federal Court of Appeal ruled in favor of Cameco Corporation in the transfer pricing . . .

Africa

Gilead’s COVID-19 drug remdesivir: the transfer pricing implications

June 29, 2020

Economist Dr. J. Harold McClure, New York, NY, discusses likely transfer pricing issues associated with Gilead Sciences’ COVID-19 therapy, remdesivir, comparing the transfer pricing treatment of Gilead Sciences’ blockbuster HIV and hepatitis C virus drugs . . .

Asia-Pacific

Australia transfer pricing guidance addresses COVID-19 impact

June 24, 2020

Leslie Prescott-Haar and Sophie Day of TP EQuilibrium AustralAsia discuss June 9 Australian guidance on the impact of COVID-19 on transfer pricing . . .

Asia-Pacific

Malaysia publishes FAQs on treatment of APAs during COVID-19 pandemic: Inland Revenue Board of Maalysia→

June 23, 2020

Americas

US Supreme Court lets Altera decision stand: implications for cost sharing and stock options

June 23, 2020

New York economist, Dr. J. Harold McClure, discusses the implications of the US Supreme Court’s June 22 announcement that it would not review the Ninth Circuit panel decision in Altera . . .

Africa

The OECD’s “no Plan B” approach on digital taxation backfires

June 22, 2020

Oliver Treidler, CEO of TP&C GmbH, Berlin, discusses the breakdown of global digital tax talks and the likely future of negotiations . . .

International Monetary Fund

PCT to run workshops on toolkits for tax authorities: Platform for Collaboration on Tax→

June 19, 2020

Asia-Pacific

Updated transfer pricing guidelines in Saudi Arabia

June 17, 2020

Asmae Bazaani of Deloitte Middle East, Dubai, analyzes Saudi Arabia transfer pricing guidelines, issued on June 1, which provide clarifications in several key areas, particularly in relation to documentation requirements and intangibles . . .

Africa

Transfer prices based on EBITDA, not EBIT

June 17, 2020

Dr. Ednaldo Silva, Founder & Director at RoyaltyStat, discusses whether transfer pricing analysis of operating profits should be based on EBITDA or EBIT . . .

Europe

Norway Supreme Court rules in favor of Shell subsidiary in transfer pricing dispute

June 17, 2020

Michael Vorndran, Nord Advisory AS, Oslo, Norway, discusses a May 28 decision of the Norwegian Supreme Court in a transfer pricing case between the Shell group’s Norway subsidiary, A/S Norske Shell, and the Norwegian oil taxation office . . .

Americas

The Puma Nordic and Columbia Sportswear transfer pricing cases and the limits of the TNMM

June 15, 2020

Dr. Harold McClure, a New York economist, analyzes a recent Swedish transfer pricing case, Puma Nordic, and a 2015 Indiana transfer pricing case, Columbia Sportswear, where the transactional net margin method (TNMM) was applied to determine the return of a distribution affiliate . . .

Americas

US, Curacao agree to exchange country-by-country tax reports on large multinational groups

June 12, 2020

US Treasury this week announced that the US and Curacao have signed a competent authority agreement . . .

Bringing clarity to documenting intercompany financing during a pandemic

June 9, 2020

Harold McClure, a New York, economist, discusses appropriate transfer pricing documentation of financial transactions in the light of the market volatility created by the COVID-19 pandemic. . .

Council of the European Union

EU report provides an overview of outstanding tax issues under negotiation in the Council: Council of the European Union→

June 8, 2020

Asia-Pacific

Israel transfer pricing guidance addresses documentation and burden of proof

June 4, 2020

Jordan Stotland, CPA, of Stotland | Consulting, Israel, discusses a tax circular issued by the Israel Tax Authority on June 2 addressing the burden of proof in transfer pricing audits and the technical factors required for regulatory compliant transfer pricing documentation . . .

Americas

Whirlpool’s maquiladora: the Mexican transfer pricing perspective

June 3, 2020

Dr. Harold McClure, a New York economist, discusses transfer pricing issues with respect to Whirlpool’s Mexico affiliate, which conducted toll manufacturing operations on behalf of a Luxembourg affiliate, as described in the recent Tax Court case, Whirlpool Financial Corporation v. Comr. . . .

Africa

Transfer pricing in the times of COVID-19: do’s and don’ts for adjusting comparable company searches

May 26, 2020

Hugo Chary and Thibaut Roques of TP qube, Paris / Bordeaux, France, discuss how to adjust comparable company searches to reflect the new market conditions that have arisen from the COVID-19 crisis . . .

Africa

Countries still can’t agree on update to multinational group taxation rules, OECD official says

May 21, 2020

The 137 countries that make up the “Inclusive Framework on BEPS” are having a difficult time reaching agreement on an update to the global rules for allocating multinational group profits among nations, according to Pascal Saint-Amans, OECD Center for Tax Policy and Administration. Saint-Amans warned. . .

Italy’s Supreme Court rules on VAT treatment of intercompany management fees

May 21, 2020

Gian Luca Nieddu, Partner, Transfer Pricing & Tax Value Chain, Hager & Partners, Milan area, discusses a recent decision, of Italy’s Supreme Court which addressed the VAT deductibility of intercompany charges accomplished by the reverse charge mechanism . . .

Asia-Pacific

India amends rules for resolution of tax disputes under MAP

May 15, 2020

Ritu Shaktawat, a partner at Khaitan & Co., Mumbai, discusses May 6 India government amendments to the rules for accessing the mutual agreement procedure (MAP) in tax treaties . . .

Polish government issues Q&A on APA procedure: Krajowa Administracja→

May 13, 2020

First Look: OECD consults on review of country-by-country reporting scheme for multinationals

May 13, 2020

The OECD today wrapped up a two-day public consultation reviewing the country-by-country reporting scheme for multinational groups. The meeting, held remotely via . . .

Americas

US IRS assisting taxpayers with APAs during downturn, relaxes APA and MAP filing requirements

May 13, 2020

The US IRS has advised that it is willing to assist taxpayers that have executed an advance . . .

Europe

German finance ministry clarifies transfer pricing proposal

May 11, 2020

Markus Kircher, a partner at Deloitte GmbH, Frankfurt/Germany, discusses recent German Finance Ministry clarifications to proposed modifications to the German transfer pricing rules . . . .

Digital Economy

OECD officials note disagreement over digital tax update, reveal plans for tax and transfer pricing guidance

May 4, 2020

The 130+ countries that make up the “Inclusive Framework on BEPS” still aim to reach consensus by the end of 2020 on updated rules for taxing multinational groups; however, disagreement has emerged regarding whether. . .

Europe

Ireland transfer guidance addresses claims for unilateral tax relief

May 4, 2020

Warren Novis, Head of Transfer Pricing, BDO Ireland, discusses Irish transfer pricing guidance released April 24 on correlative adjustments . . .

EU Commission to investigate whether Netherlands granted IKEA subsidiary State aid by approving tax deductions

May 1, 2020

The European Commission announced April 30 that it has widened the scope of its in-depth investigation into the Netherlands’ tax treatment of an IKEA subsidiary . . .

Europe

New Poland transfer pricing risk assessment tool released in interactive format

April 29, 2020

Dr. Monika Laskowska of the Center of Tax Analyses and Studies, Warsaw School of Economics, discusses the Polish government’s newly launched an interactive version of its transfer pricing risk assessment tool which requires taxpayers to disclose to tax authorities much more information than required in the past . . .

Europe

Finland transfer pricing rules analyzed in landmark court rulings

April 29, 2020

Visa Randell, LL.M., M.Sc. (Econ.), Helsinki, discusses two important transfer pricing decisions of Finlands’ Supreme Administrative Court, released April 2; one concerns a sales company that incurred losses over multiple years and the other involves the tax authority’s attempt to restructure a transaction for transfer pricing purposes . . .

Asia-Pacific

Hong Kong revises guidance on advance tax rulings

April 29, 2020

Agnes Lo of Lingnan University and Raymond Wong, City University of Hong Kong discuss Hong Kong Inland Revenue Department guidance issued April 16 on advance tax rulings . . .

Africa

COVID-19 and the future of Pillar one

April 22, 2020

Oliver Treidler, CEO, TP&C GmbH, Berlin, considers how the COVID-19 crisis will likely affect global negotiations to reform the taxation of multinational groups, noting that a delay could give transfer pricing practitioners time to formulate an alternative, updated, concept of value creation to replace Pillar one’s formulaic elements . . .

Khaled Al Zaabi on Spanish government proposes digital services tax: “We are seeking assistance with Digital Assets and International Tax Consulting to help Abu Dhabi UAE Oil Company navigate the…” October 24 ,2024

Emma Hinson Sims on The Pillar One blueprint — the potential future of international taxation and transfer pricing: “HAPPY BIRTHDAY TO A VERY SMART, BEAUTIFUL, YOUNG LADY ON JANUARY 13TH.” January 6 ,2024

David Valdez on US Tax Court resolves Whirlpool tax dispute involving Mexican maquiladora structure: “Greetings Whirlpool Mexico, I’m trying to contact someone involved with the decision making for transportation from all of your Mexican…” October 20 ,2023

Jose Dominguez on The new US international tax rules: what you need to know about GILTI, FDII, BEAT etc.: “Very informative article. Question. Do you have a software to compute these US International Calcs to make them in house?” April 12 ,2023

Ciro César Soriano de Oliveira on Danish High Court rules on beneficial ownership of dividends for tax purposes: “Dear Ms Susi, This article is immensely clarifying. I’d like to know whether Danish Supreme Court has already granted its…” March 24 ,2023

May 19 – 20	Tax Council Policy Institute Conference	Washington, D.C.
May 19 – 20	IFA Second European Region Conference	Milan, Italy
May 24	IFA Webinar Series Pillar Two: An Update	Virtual Event
Sept. 4 – 8	IFA Congress	Berlin