Daily Tax Report - Transfer Pricing Chat: Kirsty McMillan, Forvis Mazars Singapore

Our Tax Partner, Kirsty McMillan, engages in an in-depth interview with Bloomberg Tax correspondent Jan Stojaspal, revealing key insights on challenges of transfer pricing and tax incentives in Southeast Asia, including the "do’s" and "don’ts" of setting up transfer pricing policies.

As Southeast Asia continues to grow and thrive as a hub for Multi-National Corporations (MNCs), understanding the intricacies of transfer pricing and tax incentives has proven to be more essential than ever as companies leverage such benefits to navigate and expand their business model. Amidst their expansions, companies are drawn to countries with low-cost operations and tax breaks, where transfer pricing plays a crucial role in ensuring compliance and avoiding running the risk of double taxation.

Aside from developing a sustainable tax model, Kirsty highlights yet another challenge of the growing scrutiny of tax authorities on tax audits that has surfaced as a result of the evolution of technology.

She notes, "Consistency is key when designing policies, ensure that it starts first and foremost with the business: What is the business doing, what is the business reality, and how does the tax operating model support and echo that in terms of the perception of its image in the public eye."

Read the full article for Kirsty's expert tips on navigating tax complexities in Southeast Asia here.