Transfer Pricing Concept

Serbia/March 2014

The concept of Transfer Pricing is all about prices that are being charged between related parties for both goods and / or services. It now a confirmed global trend that Tax Authorities have a growing interest about Transfer Pricing mainly for two reasons:

1. 60% of the world trade actually takes place within MNE’s and Tax authorities from different countries want to set a burden on their revenues

2. MNE’s consider transfer pricing as an instrument on how a firm can minimize its worldwide tax liability

This ongoing battle is not only among Tax Authorities and Taxpayers worldwide but also between different countries. Usually, the winner of this battle is the country with the most favorable tax advantages.

The OECD introduced the concept of the arm’s length principle and many countries follow the OECD guidelines in order to contribute to this global struggle.

Transfer Pricing Regulations have now been enforced in Serbia and many questions have been raised.

Eurofast is organizing a transfer pricing seminar on March 6th at the Metropol Palace to discuss all the issues involving Transfer Pricing compliance in Serbia.

For more information, on the seminar please visit our website or contact Jelena Janjic at or telephone: +381 11 3241 484