On 30 June 2022 the Cyprus parliament has voted into law the long-anticipated documentation requirements on transfer pricing (law and regulations). The law and regulations are aligned with the recommendations set forth in the Transfer Pricing Guidelines for Multinational Enterprises and Tax Administrations published by the OECD.
The documentation requirements apply to Cypriot tax resident persons and Permanent Establishments (PE's) of non-tax resident entities for certain transactions undertaken with related parties. The aim of the new law and regulations is to ensure compliance of covered entities with the arm's length principle.
Interested persons are encouraged to read the informative leaflet that was prepared by the dedicated transfer pricing team of KPMG in Cyprus and reach out if more information or assistance is needed.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.