Associated enterprises rule permits arm's length profit adjustments and corresponding tax adjustments to address related party distortions. Associated enterprises rules permit treating conditions between related cross-border enterprises that differ from independent-enterprise conditions as ... Summary
Associated enterprises rule permits arm's length profit adjustments and corresponding tax adjustments to address related party distortions.
Associated enterprises rules permit treating conditions between related cross-border enterprises that differ from independent-enterprise conditions as grounds to include in the profits of an affected enterprise amounts that would have accrued but for those conditions, allowing taxation of those adjusted profits; where one State taxes such profits, the other State must make an appropriate corresponding adjustment, with due regard to the Agreement and consultation between competent authorities as necessary.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.