In an unanticipated response to taxpayer requests, the Puerto Rico Treasury Department (“PRTD”) has removed administrative hurdles to deduct 100 percent of expenses paid to related parties. Section 1033.17(a)(17) of the Puerto Rican Internal Revenue Code of 2011 (“PRIRC”) previously provided that taxpayers could deduct only 49 percent of the expenses paid to affiliates when computing net income for a Puerto Rican taxpayer.
The OECD’s new emphasis on aligning profits with value creation through the conclusion of the BEPS Action Plan has resulted in an ever-growing number of companies facing the challenge of preparing documentation that includes detailed value chain analyses and justifies transfer pricing (TP) policies.
Bennett Thrasher Tax Partner Ben Miller recently spoke at a seminar at K&Y on transfer pricing. During the presentation, Miller shared the common mistakes made by multinational companies when pricing intercompany transactions and offered insight and simple steps companies can take to confirm their transfer pricing is appropriate and how to build an audit defense file.
In an article published recently on Manufacturing.net, Bennett Thrasher partner Ben Miller discusses significant points of the IRS’ Transfer Pricing Examination Process that manufacturers should pay attention to when dealing with transfer pricing audits.
In an article published on Industry Today, partner Ben Miller discusses significant points of the IRS’ Transfer Pricing Examination Process that manufacturers should pay attention to when dealing with transfer pricing audits