The Impossibility of Analogical Application of Transfer Pricing Methods in the Calculation of State Vat Due in Interstate Operations Between Controled Companies

• Autor(a) principal: Dos Santos Goulart, João Lucas
• Data de Publicação: 2024
• Outros Autores: Ferreira Neto, Arthur M.
• Tipo de documento: Artigo
• Idioma: eng
• Título da fonte: Economic Analysis of law Review
• Texto Completo: https://portalrevistas.ucb.br/index.php/EALR/article/view/14409

The purpose of this article is to analyze the impossibility of the analogical application of transfer pricing methodsin interstate operations between controlled companies. In this sense, we sought to demonstrate the impracticability of the mentioned proceeding by the state tax authoritiesbased on (i) the concept of transfer pricing in foreign trade, (ii) the identification of the objectives that are to be legally protected by transfer pricing control rules, (iii) in outlining the fundamentals of Income Tax and the use of transfer pricing control criteria in Brazil. Finally, by specifying the legal hypothesis of taxation of the State VAT and the limits of analogy in tax law, the paper aimed to demonstrate that such an application would be neither legitimate nor valid.