Transfer Pricing Consultants in Dubai, UAE
Navigate complex UAE Corporate Tax regulations with expert Transfer Pricing documentation, Local File, Master File, and Arm’s Length Principle compliance. For broader advisory, see our Corporate Tax consulting services in Dubai and free zone corporate tax support.
Understanding UAE Transfer Pricing Regulations
Direct Answer: Under the UAE Corporate Tax Law, all transactions and arrangements between Related Parties and Connected Persons must comply with the Arm’s Length Principle. Businesses must maintain extensive Transfer Pricing documentation—including a Master File and a Local File—if their revenues exceed AED 200 million or if they belong to a Multinational Enterprise (MNE) group. For broader UAE Corporate Tax advisory, see our Corporate Tax consulting services in Dubai..
Transfer Pricing (TP) refers to the rules and methods for pricing transactions within and between enterprises under common ownership or control. With the introduction of the UAE Corporate Tax regime, the Federal Tax Authority (FTA) has adopted OECD Transfer Pricing Guidelines. This ensures that profits are not artificially shifted to low-tax jurisdictions and that transactions are priced as if they were conducted between independent entities.
Non-compliance with the Arm’s Length Principle or failure to submit the required Transfer Pricing documentation to the FTA within 30 days of a request can trigger severe administrative penalties and intensive FTA audits.
Our Transfer Pricing Advisory Services
1. TP Policy Design & Planning
We analyze your intercompany transactions, conduct functional analyses (functions performed, assets employed, risks assumed), and establish robust, defensible Transfer Pricing policies aligned with OECD guidelines.
2. Documentation (Master & Local File)
We prepare mandatory Transfer Pricing documentation, including the comprehensive Local File detailing specific UAE transactions, and the Master File providing a high-level overview of global business operations.
3. Benchmarking Studies
Using advanced global databases, we perform rigorous economic benchmarking analyses to identify comparable uncontrolled transactions, proving to the FTA that your pricing meets the Arm’s Length Standard.
Who is Subject to Transfer Pricing in the UAE?
The Transfer Pricing rules apply to all Taxable Persons in the UAE, including Free Zone entities. If you engage in transactions with subsidiaries, holding companies, or any related parties, you must ensure these transactions are commercially justified. While the formal requirement to maintain a Master and Local file is triggered by the AED 200 million revenue threshold (or MNE status), the FTA retains the right to request TP documentation from ANY business, regardless of size, to verify the Arm’s Length nature of related party transactions.