Transfer pricing documentation requirements in Sweden and France: how to turn a legal obligation into opportunities?”

Transfer pricing refers to the determination of prices for intercompany transactions, and more generally the profitability level of related companies for tax purposes. Both Sweden, in 2007, and France, since 2010, have implemented transfer pricing documentation requirements in their tax legislations, the lack of which may be subject to penalties and result in arbitrary tax reassessments.

A well-thought transfer pricing policy may lead to substantial tax savings by optimizing the business value chain for both operational and tax purposes, implementing an effective consolidation of profits and losses incurred in different jurisdictions, or improving cash flow management and group financing. Also, the risk of double taxation may be significantly reduced by establishing prudent transfer pricing methodologies.

On April 26 PricewaterhouseCoopers led a seminar on this theme and you can here see the slides from the seminar.