Our Senior Manager, Karen Lau and Anthony Tam, our Senior Advisor of Tax Advisory Services at Mazars in Hong Kong contributed an article under the topic of “Recent developments in Transfer Pricing” to Asia-Pacific Journal of Taxation Vol. 26 No.1.
Co-authored by Karen Lau and Anthony Tam from Mazars in Hong Kong, this article focused on the latest developments in China’s transfer pricing enforcement during 2021. In respect of the international scene, China has committed to the Organisation for Economic Co-operation and Development’s (“OECD”) Base Erosion and Profits Shifting (“BEPS”) Action 14 minimum standards (“BEPS 1.0 Project”) and is also one of the countries endorsing the Inclusive Framework of the BEPS 2.0 Project to be rolled out in 2022. China has continued to follow the approach developed since 2018. This approach will be discussed from the following three broad perspectives:
1. Transfer pricing compliance
2. Focus on “non-trade” transactions
3. Resolution of international disputes through prioritising the Mutual Agreement Procedure (“MAP”) and facilitating transfer pricing certainty by promoting advance pricing agreements (“APAs”)
Read the full article
Credits: Asia-Pacific Journal of Taxation Vol. 26 No.1 (2022)