Transfer pricing risk review
During the transfer pricing risk review we will make analysis and evaluation of your transactions carried out with the related entities.
To identify risks that may arise from the related-party transaction, we will analyse and evaluate the agreements, available transfer pricing policies, accounting etc. documentation to assess their adequacy to the demands of the transfer pricing law and practice, as well as, we will assess also other documents that may support the transaction compliance with the arm’s length principle.
As a result of the risk review we will prepare a report, which will include our conclusions regarding:
- Tax risks which are related to the transactions carried out with the related entities, including quantification of the additional tax exposure (where possible)
- Compliance of the existing transfer pricing policy to the Latvian and international laws and our recommendations about required improvements to the documentation
It is important to note that even if the company has available transfer pricing documentation prepared at the regional or global level, it is likely that such documentation will need to be adjusted according to the Latvian laws.