AmCham Macedonia in cooperation with KPMG Macedonia published OECD Transfer Pricing Guidelines for Multinational Enterprises and Tax Administrations in Macedonian, on March 20th, 2014 in Hotel Karpos. More than 50 representatives of the international business community, international organizations and local enforcement institutions attended the cocktail to mark the completion of this important project.
AmCham Executive Director, Michelle Osmanli said that “the book is a tangible expression of AmCham Macedonia’s priority to encourage clarification of laws impacting international businesses as well as the predictability of their implementation.” Arkadiusz Mierzejewski, Partner, Tax at KPMG in the Balkans said that “This book ensures an appropriate tax base in each jurisdiction, avoids double taxation and minimizes conflicts between taxpayers and tax administrations as well as those between different tax jurisdictions. This should be seen as a “win-win” for both taxpayers and the tax administration.”
As multinational enterprises (MNEs) play a more and more prominent role in the Macedonian economy, transfer pricing grows in importance for tax administrators and taxpayers alike. The book provides guidance on the application of the “arm’s length principle”, which is the international consensus on transfer pricing (the valuation, for tax purposes, of cross-border transactions between associated enterprises).
The goal of translating this book of definitions and standards into Macedonian is to encourage a common understanding and expectations between Macedonian authorities and MNEs working here on this topic. Application of these standards would help to ensure that taxable profits are not artificially shifted out of the country and that the tax base reported by MNEs working here accurately reflects their economic activity. It would also limit the risk of unfair double taxation of MNEs working in Macedonia with no intent of evading taxes. Macedonian is the 12th language into which this important book has been translated so far.
AmCham Macedonia would like to recognize the hard work and dedication of the KPMG in Macedonia team in providing the technical review of the translation. Kiril Estatiev, Biljana Nestorovska and Koce Jovanov were all instrumental in ensuring the publication is a technically accurate representation of the original. Also, AmCham employees Gordana Dimoska-Karanfiloska and Ivana Naumovska deserve recognition for their tireless work on ensuring the book looks and feels like the original. Last but not least, AmCham’s Legal & Tax Committee members deserve thanks for their support of the initiative, both in its initiation phase as well as final review.
This event was published on:
- Web portals: Biznis info, Inpress, Makfax, Portal and Kapital;
- Printed Magazines: Kapital (14/03/2014, issue 750) and Economy & Business (April 2014).