March 12th, 2024
Background
As part of the Business Europe Framework for Income Taxation (“BEFIT”) package, published on 12 September 2023, a proposal for issuing a European Directive, aimed at harmonising the EU regulatory framework on transfer pricing (“TP Directive”), was issued by the European Commission.
Implications
The proposal attempts to create standardised transfer pricing legislation for all of the Member States, basing on the unanimous acceptance of the principles stated in the OECD Transfer Pricing Guidelines (“OECD TP Guidelines”). The expected benefits of such an approach include the reduction of double taxation issues and the simplification of tax controversy, aimed at promoting the competitiveness of the European Single Market.
Our members and TP experts from different parts of the EU have come together to produce fact sheets on this in respect of TP. Please click here to read the document.
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The above information is not intended to be an exhaustive analysis of all the changes to the current legal regime, but a selection of those that we believe to be the most relevant, and does not dispense with the consultation of our Company and/or diplomas to which they refer.
For more information contact: Catarina Breia (+351 91 7575 832 or cbreia@pt-nexia.com) from our Tax Department.
