Regulation of transfer pricing in the tax concertation law

Abstract

In the current international context and the globalized economy of multinationals, companies have extended their investments by settling in different jurisdictions through subsidiaries, companies of the same business group, or other corporate forms, to expand their commercial relations. Under this internationalization scenario, transfer pricing has acquired a transcendental incidence within the operations and transactions carried out between companies when dealing with their associated or related parties, making necessary its regulation in the different legal systems of the world. This research article addresses the regulatory framework of transfer pricing in Nicaragua since its entry into force in 2017.