OECD Updates its Transfer Pricing Country Profiles

On 3 August, the OECD started to add information on the treatment of financial transactions and permanent establishments to its Transfer Pricing Country Profiles.  These profiles are prepared by collecting feedback from local tax administrations via standardized questionnaires and are a valuable source to reconcile analyses under the OECD Guidelines with local statutory regulations.  The new field on financial transaction contains reference to any domestic regulations containing guidance on transfer pricing for such transactions as well as reference to related tax regulations (such as interest deductibility caps).  The field on permanent establishments clarifies if the country follows the “Authorised OECD Approach” on profit attribution or any other guidance.

The Transfer Pricing Country Profiles are available on the website of the OECD here: https://www.oecd.org/tax/transfer-pricing/transfer-pricing-country-profiles.htm