Silberztein, Caroline

The French Supreme Administrative Court provides useful clarifications on the deduction of government subsidies from the cost base in applying cost-based transfer pricing methods / Caroline Silberztein and Benoit Granel .-- , 2019


Disponible en formato electrónico en la Biblioteca del IEF.
Resumen.

In a decision dated 19 September 2018 (Philips France SAS), the French Supreme Administrative Court ruled that, in the context of contract R&D services provided by a French taxpayer and charged at cost-plus to a foreign associated enterprise, the deduction of government subsidies from the cost base does not by itself suffice to characterize a transfer of profits abroad. This decision, which is final, as it cannot be appealed, puts an end to the Philips France SAS litigation case that started in 2014 with a contrary decision by a French Administrative Tribunal. It provides useful clarifications on the application of the cost-plus method and clarifies the rules concerning the burden of proof in transfer pricing matters.


PRECIOS DE TRANSFERENCIA
DEDUCCIONES TRIBUTARIAS
SOCIEDADES EXTRANJERAS
FRANCIA
UNION EUROPEA
TRIBUNAL DE JUSTICIA DE LAS COMUNIDADES EUROPEAS
JURISPRUDENCIA


Granel, Benoît

International Transfer Pricing Journal 1385-3074 v. 26, n. 1, January/February 2019, p. 65-69

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