Revision Question Bank Pointers

Question 1

What do we need to think about if we have been told that one company has made a transfer pricing adjustments but the other company has not - also thinking about penalties & fines

Answer 1

In the event that the corresponding company has not made the adjustment, you’re not able to make the adjustment yourself - it is also good to note that the potential lost revenue amount can be reduced by the corresponding adjustment amount or increased if applicable