Transfer Pricing 2025

AUSTRALIA

Australia

Law and Practice Contributed by: Michael Clough, Jerome Tse, Judith Taylor and Scott Heezen King & Wood Mallesons

Sydney

Tasmania

Contents 1. Rules Governing Transfer Pricing p.16 1.1 Statutes and Regulations p.16

1.2 Current Regime and Recent Changes p.16 2. Definition of Control/Related Parties p.16 2.1 Application of Transfer Pricing Rules p.16 3. Methods and Method Selection and Application p.16 3.1 Transfer Pricing Methods p.16 3.2 Unspecified Methods p.17 3.3 Hierarchy of Methods p.17 3.4 Ranges and Statistical Measures p.17 3.5 Comparability Adjustments p.17 4. Intangibles p.17 4.1 Notable Rules p.17 4.2 Hard-to-Value Intangibles p.17 4.3 Cost Sharing/Cost Contribution Arrangements p.17 5. Adjustments p.17

5.1 Upward Transfer Pricing Adjustments p.17 5.2 Secondary Transfer Pricing Adjustments p.17 6. Cross-Border Information Sharing p.18 6.1 Sharing Taxpayer Information p.18 6.2 Joint Audits p.18 7. Advance Pricing Agreements (APAs) p.18 7.1 Programmes Allowing for Rulings Regarding Transfer Pricing p.18 7.2 Administration of Programmes p.18 7.3 Co-Ordination Between the APA Process and Mutual Agreement Procedures p.18 7.4 Limits on Taxpayers/Transactions Eligible for an APA p.18 7.5 APA Application Deadlines p.18 7.6 APA User Fees p.18 7.7 Duration of APA Cover p.18 7.8 Retroactive Effect for APAs p.18

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