Review of the VAT treatment of Transfer Pricing Adjustments
The VAT Treatment of Transfer Pricing Adjustments: Dealing with the complexities
A recent CJEU ruling highlights the importance of a direct link between a supply and a Transfer Pricing Adjustment. Whether taxpayer-initiated or imposed by authorities, Transfer Pricing Adjustments require a careful analysis for their VAT Treatment, based on the principles established by the Court. This article examines possible TP adjustments under OECD rules, to determine whether VAT is applicable on such transactions.
Want to know more?