The best time to understand the impact of transfer pricing on your business, tax footprint, and financial statements is before you’ve committed to expansion or restructuring.
Companies with related-party transactions that cross tax boundaries—country, state, or local— are confronted with increasing levels of scrutiny from taxing authorities and are burdened with an increasing number of transfer pricing-related compliance requirements. At the same time, these companies face pressures to reduce their global effective tax rate, improve their earnings per share, and move cash where it’s needed for operations.