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14 February 2018

Israel's Tax Authority releases draft circulars for comments on transfer pricing methods and profitability ranges

The Israeli Tax Authority (ITA) recently released for consultation two draft circulars on transfer pricing (TP), dated December 18, 2017. One circular focuses on appropriate TP methods relating to distribution, marketing, and sales by multinational enterprises (MNEs) in the Israeli market, while the other focuses on specific profitability ranges for certain transactions. The circulars provide the ITA's position regarding methodology and profitability of various types of transactions, while facilitating documentation and reporting requirements.

A Global Tax Alert, attached below, provides additional details.

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ATTACHMENT

Full text of Tax Alert 2018-0314

Document ID: 2018-0314

 

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