The information about Transfer Pricing is specifically useful for International IT companies that have their branches, subsidiary companies in the Republic of Armenia.

7 facts about the regulations of the Transfer Pricing:

• Transfer pricing, in the tax law refers to rules and methods for pricing transactions within and between enterprises under common ownership or control.
• Transfer pricing regulations are not applicable in those cases when the overall turnover of the controlled transactions does not exceed 200 mil AMD within a span of a year.
• The controlled transactions are the supply of goods, provision of services and implementation of work between affiliated taxpayers.
• When comparing the transactions of the provision of services the following factors are taken into account: the nature and volume of the work and services, the used technical knowledge and skills, the integration of intangible assets.
• The RA Tax Code defines 5 methods for Transfer Pricing.
• The deadline for the submission of a notification to the tax body is April 20 of the first year following the reporting year.
• The transfer pricing documentation is prepared based on the provisions of the Article 376 of the RA Tax Code.

We suggest taking into consideration the following legal acts as well:
The decision of the RA SRC chairman N 671-Ն, date of adoption 11.10.2019,
The decision of the RA Government N 556-Ն, date of adoption 09.04.2020.

01 January 2020, Wednesday | 1954