Multinationals have been abusing South Africa’s transfer pricing system to take significant profits offshore and this can only be stopped if the country tightens up taxation rules on related party transactions, says Sars commissioner Edward Kieswetter.
He told Business Times that the complex area of transfer pricing was being abused through “cost loading” or charging below an arm's length rate (market rate) to avoid tax obligations...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.