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Tuesday, 02 August 2011

Transfer pricing and developing countries

The issue of transfer pricing is a central challenge to developing countries' capacity to effectively tax multinational corporations. The European Commission has commissioned a study that recommends suitable approaches for supporting developing countries in the adoption and implementation of transfer pricing rules in line with international standards in order to increase tax revenue. The study outlines the current transfer pricing situation in Ghana, Honduras, Kenya and Vietnam, and based on this makes recommendations for donor support to developing countries. As a follow up to the study the Commission envisages providing financial support in capacity building in transfer pricing to selected developing countries. The views expressed by the consultants do not necessarily reflect those of the European Commission.

Source: European Commission

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