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Transfer Pricing In The Nigerian Context, Humphrey Onyeukwu

Humphrey Onyeukwu

Transfer pricing is an issue in International Taxation which has continue to befuddle both the taxpayer and the tax authorities. It is a valid business practice for associated companies in the pricing of inter-related sales within the group and on the other side of the divide, it creates a suspicion for the tax authorities that the pricing may be a form of profit shifting with the result of providing avenues for tax avoidance.

In the Nigerian context, the issue is not helped further as there is an absence of clear transfer pricing regulations. An increasingly share of world trade consists …