Steep Penalty for Failure to Prepare Transfer Pricing Documentations
🇲🇾 In Malaysia, transfer pricing laws are applied to both domestic and international related parties. Unsure of what it means? Well, as the name suggests - transfer pricing refers to the “pricing” for the transfer of goods and services between related parties. Transfer prices are used when individual entities of a larger multi-entity firm are treated and measured as separately run entities. All transactions should conclude at “arm’s length price”, in other words, at market value.
In order to comply with the IRBM regulations, companies which undertake related party transactions domestically and across borders are mandated to prepare contemporaneous Transfer Pricing Documentation (TPD). Failure to do so will result in a hefty bill and painful penalty at your doorstep 💸
If you want to be sure that your TPD are compliant to the IRBM regulations, get in touch with us through https://wa.me/60122192492 📲. We can assist you with all matters relating to transfer pricing 😊