Reports

This Special Report carries an unofficial translation of China's draft transfer pricing regulations. The regulations, if finalized in their present form, would reduce the threshold for defining "related party", mandate contemporaneous documentation, restrict advance pricing arrangements to companies with a 10-year history in China, and require advance government approval for service cost sharing arrangements.

Intangibles are a key focus of governments as they audit companies' transfer prices. In this Special Report, leading practitioners examine the difficulties of determining when intangibles exist and of putting a value on them when they do and address laws and policies in the United States and various European nations.

This Transfer Pricing Special Report carries a variety of articles from the Transfer Pricing Report by noted transfer pricing experts on the most contentious tax issues between governments.

This Special Report explores India's principal government and fiscal authorities' attitudes toward cross-border commerce, provides a history of India's transfer pricing and permanent establishment policies, as well as preferences for transfer pricing methods, comparable data, and contemporaneous documentation. Transfer pricing audit issues and experiences are described by sector. Full text of government audit directives, regulations and court cases on transfer pricing and permanent establishment issues are included as well.

Transfer pricing has become one of the most important tax issues for Latin American governments, representing an indispensable inspection tool for governments to protect their tax base in transactions carried on by multinational enterprises. This Special Report both details and analyzes the laws and transfer pricing rules of Argentina, Chile, Colombia, Costa Rica, Ecuador, Mexico, Peru, and Venezuela.

This Special Report addresses how to build a transfer pricing defense in the face of documentation requirements that have surged in recent years to a level surprising even those with the most vivid imaginations. While contemporaneous documentation requirements were initially the "playing field" of countries such as the United States, other countries are now using transfer pricing as ideal revenue-generating subject matter: an easy audit target that can produce substantial adjustments.

International trade and foreign direct investment patterns are increasingly shifting from manufacturing to services. This Special Report addresses the implications for businesses as both home and host governments apply the arm's-length standard to offshored services functions. Since transfer pricing services regulations are much less developed than those for goods and raw materials, multinational enterprises are expected to follow the benefit-cost principle, with little explicit guidance as to acceptable methodologies compared to the detailed guidelines available for tangibles.

Surveys

This survey clarifies state positions on the gray areas of corporate income, and sales and use taxes. A quick way to gain insight on state tax positions and to make more informed planning decisions, the report covers crucial topics including income tax nexus, sales and use tax nexus, conformity to I.R.C. § 338(h)(10), the treatment of income arising from bankruptcy, treatment of intangible holding companies and much more!