Affluence Advisory

𝐏𝐫𝐢𝐜𝐢𝐧𝐠 𝐌𝐞𝐭𝐡𝐨𝐝 𝐈𝐧 𝐏𝐫𝐚𝐜𝐭𝐢𝐜𝐞
Transfer pricing is not a one-size-fits-all exercise. Selecting the appropriate method—whether CUP, RPM, Cost Plus, TNMM, or PSM—depends on the transaction type, industry dynamics, business model, and availability of comparable data. The right methodology, backed by robust documentation, strengthens compliance and helps reduce tax litigation risks.

Even after the introduction of a centralized stamp duty collection mechanism for securities transactions, documents such as Share Purchase Agreements (SPAs), Shareholders’ Agreements (SHAs), and Share Subscription Agreements (SSAs) may still attract stamp duty implications under applicable State Stamp Laws. A careful review of transaction documents is essential to mitigate legal, financial, and transaction risks arising from incorrect stamping.