The UAE Tax Case Study. Arm’s length pricing issues for the Emirati Free Zone relief

On October 3rd, we partnered with STI Taxand to host a joint webinar on the intricate challenges of transfer pricing within Free Zones under the UAE Corporate Tax framework. 

We share a few select slides from our session, each enhanced with commentary. The slides underscore the major challenges associated with the practical application of TP compliance measures in respect of the Free Zone relief in the UAE.

Slide 3 offers a critical analysis of the arm's length principle that often leads to non-compliance due to its artificial and counterintuitive nature.

Slides 4 and 5 delve into the potential for rectifying non-compliant arm's length transactions through timely adjustments. These discussions explore whether post-transaction adjustments can effectively restore compliance and avoid the punitive consequences of non-compliance.

Download the slides

Author: Andrey Nikonov