Contributed by: Paulo Honório de Castro Júnior and Bruno Marques Feitosa, William Freire Advogados
Summary
- Rules Governing Transfer Pricing
1.1 Statutes and Regulations - Definition of Control/Related Parties
2.1 Application of Transfer Pricing Rules Controlled Transactions - Methods and Method Selection and Application
3.1 Transfer Pricing Methods
3.2 Unspecified Methods
3.3 Hierarchy of Methods
3.4 Ranges and Statistical Measures
3.5 Comparability Adjustments - Intangibles
4.1 Notable Rules
4.2 Hard-to-Value Intangibles
4.3 Cost Sharing/Cost Contribution Arrangements - Affirmative Adjustments
5.1 Rules on Affirmative Transfer Pricing Adjustments - Cross-Border Information Sharing
6.1 Sharing Taxpayer Information - Advance Pricing Agreements (APAs)
7.1 Programmes Allowing for Rulings Regarding Transfer Pricing
7.2 Administration of Programmes
7.3 Co-ordination Between the APA Process and Mutual Agreement Procedures
7.4 Limits on Taxpayers/Transactions Eligible for an APA
7.5 APA Application Deadlines
7.6 APA User Fees
7.7 Duration of APA Cover
7.8 Retroactive Effect for APAs - Penalties and Documentation
8.1 Transfer Pricing Penalties and Defences
8.2 Taxpayer Obligations Under the OECD Transfer Pricing Guidelines - Alignment With OECD Transfer Pricing Guidelines
9.1 Alignment and Differences
9.2 Arm’s Length Principle
9.3 Impact of the Base Erosion and Profit Shifting (BEPS) Project
9.4 Impact of BEPS 2.0
9.5 Entities Bearing the Risk of Another Entity’s Operations - Relevance of the United Nations Practical Manual on Transfer Pricing
10.1 Impact of UN Practical Manual on Transfer Pricing - Safe Harbours or Other Unique Rules
11.1 Transfer Pricing Safe Harbours
11.2 Rules on Savings Arising From Operating in the Jurisdiction
11.3 Unique Transfer Pricing Rules or Practices - Co-ordination With Customs Valuation
12.1 Co-ordination Requirements Between Transfer Pricing and Customs Valuation - Controversy Process
13.1 Options and Requirements in Transfer Pricing Controversies - Judicial Precedent
14.1 Judicial Precedent on Transfer Pricing
14.2 Significant Court Rulings - Foreign Payment Restrictions
15.1 Restrictions on Outbound Payments Relating to Uncontrolled Transactions
15.2 Restrictions on Outbound Payments Relating to Controlled Transactions
15.3 Effects of Other Countries’ Legal Restrictions - Transparency and Confidentiality
16.1 Publication of Information on APAs or Transfer Pricing Audit Outcomes
16.2 Use of “Secret Comparables”
