Transfer Prices discussed in depth

The adequacy of transfer prices between parent companies and subsidiaries residing in different countries is often a point of discussion during tax audits. At a national AGN meeting in Rotterdam in which also the managing directors of SH+C Richard Hempe and Oliver Kächele took part, the capacity, operation and achievable results of the databases as well as the software tools of the Bureau van Dijk have been analyzed and discussed.

Bureau von Dijk (BvD) is the most common provider of software solutions regarding the breakdown and documentation of transfer prices/pricing, which are also used by tax authorities of numerous countries. Correspondingly, BvD is represented with information collecting offices in many countries of the world. During a live session, employees of BvD showed the conception and operation of the transfer pricing software as well as the achievable results and statements regarding the constitution of the transfer pricing documentation. Afterwards, the special requirements regarding the transfer pricing documentation of medium-sized companies and company groups were discussed together with argumentation strategies vis-à-vis the tax authorities.

"A perfect opportunity to discuss the transfer pricing issue with the software provider as well as with colleagues from neighbor countries regarding our medium-sized clients" summarized SH+C managing director Oliver Kächele the results of the meeting.

Article from: 06.12.2013