- This topic has 3 replies, 2 voices, and was last updated 2 years ago by .
Viewing 4 posts - 1 through 4 (of 4 total)
Viewing 4 posts - 1 through 4 (of 4 total)
- The topic ‘Transfer Pricing’ is closed to new replies.
Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA PM Exams › Transfer Pricing
You said in the lecture that divisions of a company would be in the same country which means that one division would be in one city and the other would be in another city but they will always be in one geographical area (i.e. within the same country).
Since both the divisions are within the same country so no tax calculation is involved.
Is that correct?
Divisions do not pay tax. It is the company as a whole that pays tax – not each division of the company separately.
Yeah, that what I meant. Please say what I say about divisions being in one geographical area is all correct?
Yes it is correct (which is effectively what I wrote in my reply!!).