State Tax Service participates in training program of the Organization for Economic Cooperation and Development on building strategic potential in transfer pricing

Team of the Transfer Pricing Department jointly with colleagues from the territorial bodies of the State Tax Service, weekly throughout 2022, will participate in an intensive transfer pricing capacity building program. Organizer of educational trainings is the Organization for Economic Cooperation and Development (hereinafter – OECD) with assistance of the Ministry of Finance of Ukraine.

Purpose of the training program is to improve qualifications of employees who carry out risk assessment and verification of conditions compliance of controlled operations with the "outstretched hand" principle. Trainings are planned to cover both conceptual presentations and practical cases.

The OECD is an undisputed leader in development of international tax standards, such as the Model convention for avoidance of double taxation and the transfer pricing guidelines for multinational companies and tax authorities.

For the State Tax Service cooperation with the OECD is extremely important, since its activities in field taxation sphere are focused, including, around such areas as development of recommendations on the transfer pricing. This especially applies to taxation of financial operations and application of approaches to intangible assets, improving the tax information exchange, etc.

Participation in such a unique educational program will allow to strengthen personnel potential and ensure effective implementation of good world practice, which is verified and proven experience working on the practical cases.

Transfer Pricing Department takes a balanced approach to the formation of evidence base and documentation of violations of the "outstretched hand" principle, in particular, global cases are evaluated by international experts before the start of audits.

Due to such measures, the State Tax Service is improving and increasing its capabilities to counteract against the tax base erosion and profit shifting practices in the transfer pricing sphere.