Related parties, including those forming part of a corporate group, are liable for tax purposes to conclude transactions with each other at market conditions and market prices.
The purpose of transfer pricing is to determine the prices of transactions to be concluded between related parties by determining the levels of similar transactions to be concluded between unrelated parties in a free and competitive market.
In the case of non-compliance with transfer pricing rules, national tax authorities may, in the course of a tax inspectionsor tax check, require the recalculation of income and profits resulting in higher taxes due, in penalties or in the determination of additional tax liabilities.
Theaimof Ecovis Bulgaria is to provide ourclients with practical solutions for transfer pricing, to prepare transfer pricing documentation, which will sustainclients’ practices in concluding transactions and to protect their interests in tax inspectionand tax check.
List of services offered:
- Analysis and study of the activities of the related parties;
- Preparation of transfer pricing documentation which will sustainthat the transactions of companies with related parties are carried out on a market basis;
- Assisting companies to achieve their tax objectives in compliance with the rules and methods of pricing when carrying out transactions between related parties;
- Assisting companies in tax checks and tax inspections concerning related parties’transactions.