Transfer Pricing Practice Exam
Transfer Pricing Practice Exam
About Transfer Pricing Exam
The Transfer Pricing Certification proves your skills in handling inter-company pricing within global businesses. This certificate is key for those working with multinational firms or tax consulting roles. It helps job seekers show expertise in arm’s length pricing, documentation, and regulatory compliance. With rising global tax scrutiny, companies value professionals who understand transfer pricing rules. Jobs in finance, international taxation, and audit all prefer certified candidates. This certification sets you apart by showing you know how to reduce tax risks, handle audits, and comply with legal pricing rules used in India and across the world.
Who should take the Exam?
- Tax professionals
- Chartered accountants
- Finance and compliance managers
- International business consultants
- Corporate lawyers
- Transfer pricing analysts
- Audit and assurance staff
- Commerce and accounting students
- IRS or tax authority aspirants
- Risk management professionals
Skills Required
- Application of arm’s length principle
- Use of transfer pricing methods
- Compliance with OECD and Indian TP laws
- Preparation of TP documentation
- Conducting functional and economic analysis
- Interpreting global tax rules
- Identifying and managing pricing risks
- Understanding BEPS and digital economy rules
- Applying APA and MAP solutions
- Advising on safe harbor applicability
Knowledge Gained
- Core concepts of inter-company pricing
- Selection and application of TP methods
- Regulatory knowledge under OECD and Indian law
- Step-by-step documentation preparation
- Functional and risk analysis skills
- Dispute resolution techniques in TP
- BEPS action plans and global trends
- Industry-specific transfer pricing practices
- Legal compliance in cross-border transactions
- Practical exposure to tax planning strategies
Course Outline
The Transfer Pricing Exam covers the following topics -
Domain 1 - Introduction to Transfer Pricing
- What is transfer pricing?
- Importance for multinational companies
- Basic terms and definitions
Domain 2 - Transfer Pricing Methods
- Comparable Uncontrolled Price (CUP)
- Resale Price Method
- Cost Plus Method
- Transactional Net Margin Method (TNMM)
- Profit Split Method
Domain 3 - Regulatory Framework
- OECD guidelines
- Indian Income Tax Act (Section 92)
- Country-specific rules
- Arm’s Length Principle
Domain 4 - Documentation Requirements
- Master File
- Local File
- Country-by-Country Report (CbCR)
- Compliance timelines
Domain 5 - Functional Analysis
- Functions, assets, and risks (FAR)
- Role of comparables
- Economic adjustments
Domain 6 - Transfer Pricing Adjustments and Dispute Resolution
- Adjustments and penalties
- APA (Advance Pricing Agreement)
- MAP (Mutual Agreement Procedure)
- Safe harbor rules
Domain 7 - Industry-Specific Scenarios
- IT and software services
- Manufacturing and trading
- Financial services
Domain 8 - Recent Trends and Global Issues
- BEPS (Base Erosion and Profit Shifting)
- Digital economy and transfer pricing
- Evolving documentation needs
