Tax Audit Defense of a Medical Products Company

The Situation

A major US medical products firm faced substantial income adjustments stemming from transfer pricing audits in Asia.

NERA's Role

NERA has analyzed the relevant local market, identified the most appropriate local benchmark comparables, and applied the selected benchmarks with appropriate adjustments.

The Result

The taxpayer's analysis provided the relevant tax authorities with objective facts to resolve the situation of double taxation. NERA also helped the taxpayer to obtain APAs to mitigate future risks and reduce to a minimum regulatory interference with the company’s business in Asia.