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July 11, 2016

Transfer Pricing Studies Alleviate Manufacturer's Compliance Burden

Client Profile

Annual Revenue: $200 million
Industry: Manufacturing
Ownership: C Corporation
Footprint: International

CBIZ provides transfer pricing services.Issue

An industrial valve manufacturer based in Houston manufactures in both the U.S. and foreign countries and distributes to more than 40 countries through local sales and distribution subsidiaries. With a small in-house finance department and broad international footprint, the manufacturer needs assistance with its increasingly complex international transfer pricing regulations and growing burden of annual transfer pricing documentation requirements.

Solution

Our team streamlines the manufacturer’s reporting obligation by performing 15 separate local jurisdiction specific transfer pricing studies annually. We stay current with local transfer pricing requirements and provide analysis and documentation for various intercompany transactions to ensure compliance with local tax and transfer pricing laws. We also evaluate whether the manufacturer is applying optimal transfer pricing methodologies.

Outcome

The manufacturer’s sizeable geographic footprint makes it subject to regulators in numerous countries. Our approach to transfer pricing documentation provides dynamic exposure in a changing regulatory environment as well as an efficient and cost-effective outcome for the company, allowing in-house finance team resources to focus time and efforts on other internal priorities.

Optimizing Transfer Pricing Application

Learn how we can help you manage your transfer pricing requirements.

Download our case study


Copyright © 2016, CBIZ, Inc. All rights reserved. Contents of this publication may not be reproduced without the express written consent of CBIZ. This publication is distributed with the understanding that CBIZ is not rendering legal, accounting or other professional advice. The reader is advised to contact a tax professional prior to taking any action based upon this information. CBIZ assumes no liability whatsoever in connection with the use of this information and assumes no obligation to inform the reader of any changes in tax laws or other factors that could affect the information contained herein.

CBIZ MHM is the brand name for CBIZ MHM, LLC, a national professional services company providing tax, financial advisory and consulting services to individuals, tax-exempt organizations and a wide range of publicly-traded and privately-held companies. CBIZ MHM, LLC is a fully owned subsidiary of CBIZ, Inc. (NYSE: CBZ).

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