In this article from Global Tax Weekly, NERA Affiliated Consultant Dr. Alexander Voegele and Principal Philip de Homont present a case study demonstrating how to use mutual agreement procedures (MAP) in resolving a long-standing disagreement between a large multinational company with several German subsidiaries and the German tax authorities over the results of a field tax audit. The authors explain how the client, which had a loss-making subsidiary whose audit outcome resulted in a tax correction for the entire company, had used the cost-plus method with their tax filings, and how NERA’s use of MAP with the tax authorities resolved the dispute.