Introduction to Transfer Pricing

TRANSACTION OF SALE OF GOODS OR PROVISION OF SERVICE

EVOLUTION OF TRANSFER PRICING

Transfer pricing, was introduced for setting the right (i.e., arm’s length) price, that should be charged for product sold or services rendered by one segment of an enterprise (Segment A), to another segment (Segment B)/ Branch, of the same enterprise.

INTRODUCTION TO TRANSFER PRICING

With cross border economic growth, companies became Multi National Enterprise (MNE’s) wherein they incorporated separate companies (instead of segment) in various countries.

EVOLUTION OF TRANSFER PRICING

ENTITIES

 

Share on whatsapp
Share on facebook
Share on twitter
Share on linkedin
Share on email

Leave a Comment