Transfer Pricing 2025: Key Developments and What They Mean for Your Business
Transfer Pricing 2025: Key Developments and What They Mean for Your Business
In today's rapidly evolving international tax landscape, transfer pricing remains a critical concern for multinational enterprises. The latest issue of BDO's Transfer Pricing News (Issue 50, March 2025) delves into several pivotal developments:
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OECD's Consolidated Report on Amount B: The OECD has released a comprehensive report consolidating guidance on Amount B, aiming to simplify the application of the arm’s length principle to baseline marketing and distribution activities. This initiative is particularly beneficial for jurisdictions classified as low to upper-middle income.
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UK Transfer Pricing Statistics: The UK's tax authorities have published their annual report for 2023/24, highlighting a significant increase in Advance Pricing Agreements (APAs) concluded and a notable rise in yields from transfer pricing enquiries.
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India's Union Budget 2025: The Indian government has introduced new transfer pricing provisions, including block assessments covering three-year periods, signaling a move towards more streamlined compliance processes.
Navigating these complexities requires expertise and a proactive approach. At BDO Estonia, we offer a comprehensive suite of transfer pricing services tailored to meet the unique needs of your business:
✅ Planning and Compliance: We assist in developing transfer pricing policies that are well-structured, flexible, and aligned with your overall tax strategy.
✅ Proper Transfer Pricing Documentation: The purpose of transfer pricing documentation is to demonstrate that transactions between related parties comply with the arm’s length principle. We prepare documentation in accordance with local legislation and international OECD guidelines.
✅ Contract Drafting: BDO supports you in drafting intercompany agreements in line with your current or planned transfer pricing policies.
✅ Benchmarking Analyses: We conduct thorough benchmarking studies to ensure your related-party transactions are in line with market conditions.
✅ Audit Support: We prepare robust documentation to support your transfer pricing positions during tax authority audits.
Our dedicated team collaborates closely with BDO's global network, ensuring you receive informed and up-to-date advice in this dynamic environment. Whether you're reassessing existing transfer pricing policies or establishing new ones, BDO Estonia is here to guide you through every step.
Stay ahead in the complex world of transfer pricing with BDO Estonia—your trusted partner in navigating international tax challenges.