Question

In January of 2018, tax officials from some of the world’s leading economies launched a program to jointly assess the transfer pricing positions of multinational taxpayers in a cooperative manner through review of their country-by-country reports, local files, and other materials. The program, known as the International Compliance Assurance Programme (ICAP), recently received support for an expansion of the initial pilot program, known as “ICAP 2.0.” Discuss some of the key topics related to transfer pricing and international taxation covered in the most recently released version of the ICAP Handbook.

Answer 1

1) Providing a pathway to improved tax certainty for MNEs

2) More effective dispute resolution

3) Well-established MNE compliance frameworks

4) Advances in international collaboration

5) Better and more standardised information for transfer pricing risk assessment

6) Capitalising on greater opportunities for multilateral engagement to provide improved assurance for tax administrations