transfer pricing ukaine

Transfer pricing is the pricing of services or goods, between related parties, differing from market. Such prices allow redistribution of profits to the benefit of the participant who is registered in the countries with a lower tax rates. This is the most common international practice of tax optimization, precisely because transfer prices are controlled by fiscal authorities. The legislation on transfer pricing often changes, and fines for failure to report on controlled transactions in the 2019 year is 576 thousand UAH. Therefore, it is better to entrust preparation of the report and transfer pricing documentation in hands of professionals. Consulting company PETTERSON & BENNETT renders services in the sphere of transfer pricing to both local and foreign organizations, their representative offices in Ukraine.

Peculiarities and analysis of transfer pricing documentation in Ukraine

There are following methods which can be used to determine the transfer price, according to the Tax Code of Ukraine:

• comparable uncontrolled price method;

• resale price method;

• cost plus method;

• method of comparable profitability (transactional method).

• method of distribution of profit (transactional profits method).

The rule of " arm's length principle " is the essence of transfer pricing, the meaning of which is that the pricing of goods between related party and unrelated companies should not differ. If, however, the prices between the related party are lower – the fiscal authorities will insist on additional tax liabilities for the difference, from the market price.

Services from the company PETTERSON & BENNETT for transfer pricing:

• Analysis of customer datafor comparison with the criteria of controlled operations.

• Collection of documentation on controlled operations includes analysis of relevant documents, choice of transfer pricing method, identification of possible risks. Important moments are the study of the functioning of more successful companies-analogues (benchmarking) and the selection of primary documentation.

• Report on the above documentation– this is the formation of transfer pricing reporting and the collection of statements on transactions with non-residents. The closing point for this part of the service is the automation of all received data and the issuance of recommendations.

• Improving the transfer pricing policy – it is a set of services such as consultation on additional questions of TCEs, preparation of possible answers for tax, revision and approval of transfer pricing.

For a successful plan of the company's potential growth strategy, choice of transfer pricing method and calculation of possible risks of future operations, qualification and extensive experience are required. And if you are not sure of all 100% in your knowledge and skills or your employees, it is worth entrusting real professionals, which are lawyers, accountants, analysts of the company PETTERSON & BENNETT.

Transfer pricing service in Kyiv from PETTERSON & BENNETT

Consulting company PETTERSON & BENNETT ready to help sorted out with all the nuances of transfer pricing in Kyiv to modernize the successful work of domestic and foreign organizations, branches, representative offices on the most advantageous terms.

The extensive database of regular customers shows that there are many advantages of our company:

• guarantee of successfully executed transfer pricing services in different branches of business conducting;

• prompt formation of transfer pricing and documentation on controlled transactions;

• reasonable prices in comparison with competitors;

• highly qualified specialists who can help in problems of any complexity;

• communication in business English is established with the possibility of registration of necessary documentation;

• preservation of confidential information from the customer.

Purpose of the company PETTERSON & BENNETT – legal and successful promotion of your own business regardless of its forms of ownership of domestic and foreign organizations, branches, representations on the territory of Ukraine. If you have any additional questions, please call us right now!