Documentation of transactions between related entities

For many years now, transactions between related companies constitute a significant issue in the business operations. Such transactions are situations, where the capital or personal structures may be used for illegal reduction of tax obligations. Prices and other conditions of the transactions should be compliant with the arm’s length principle. That is why such transactions are of particular interest to the tax authorities. Our Law Firm ensures professional documentation of such transactions with particular focus on the Client’s tax safety, should a control occur. In this area, our Law Firm draws up documentation at the level of the related entity (local file) and at the level of the entire group of related entities (master file).