Circular of the State Administration of Taxation on the Issue of Capital Adjustments in the Taxation Administration of Transfer Pricing

Circular of the State Administration of Taxation on the Issue of Capital Adjustments in the Taxation Administration of Transfer Pricing

Guo Shui Han [2005] No. 745

July 28, 2005

To the bureaus of state taxation bureaus and local taxation bureaus of all provinces, autonomous regions, municipalities directly under the Central Government and the cities specifically designated in the state plan:

Recently, some provinces or municipalities have made adjustments to the capital discrepancy between enterprises under investigation and comparable enterprises in tax audit into transfer pricing, negotiations and conclusion of arrangements for advance pricing and other tasks while others have not make such adjustments.
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