Multinational companies change transfer pricing policies in response to BEPS

More than 50% of multinational businesses have changed their transfer pricing and conducted a review of their business’s value chain and key profit drivers as a result of the base erosion and profit shifting (BEPS) project according to research from Thomson Reuters.

Its second annual BEPS survey also found that two-thirds of corporate tax executives say their companies are actively preparing for the onslaught of new tax regulations resulting from the project. That is a 22% increase on the previous year.

European companies are more intensely focused on BEPS planning than those in the rest of the world with more than 75% of companies actively preparing for the project up from 59% last year. In the UK the percentage is 80%. These figures compare with 71% in Latin America 64% in the US and 40% in Asia Pacific.

In 2015 the Organisation for Economic...