Transfer Pricing Adjustment for 2024
It should certainly be no news that companies undertaking related party transactions must reflect the arm's length principle. In the course of work on financial statements, it is standard practice to discuss the possible adjustment of arm's length prices (so-called TP Adjustment) to ensure "safe" profitability. This profitability interval should ideally be supported by a benchmark study (which will serve as evidence for potential tax inspection).
We would like to draw your attention to the fact that with the preparation of the financial statements, this is the ideal time to evaluate and account for the TP Adjustment for the 2024 transactions in the 2024 financial statements.