CT1 form Transfer Pricing

Antonie

New Member
Messages
2
Hi,

I wonder if somebody could help me regarding our Corporate Taxes ( CT1 )form.

We are a small limited company, with only the directors in it, very small business, little income, local business, no trading outside the state and no associated companies.



When filing the CT1, the form requests certain information regarding Transfer Pricing.



Below, the questions asked by the form. The answers are Yes or No. I believe that, considering the type of business we run, the correct answers are the ones I am writing down beside the questions.



I would appreciate it if somebody could confirm if I am right.



Transfer pricing



Does the company qualify for the SME exemption under section 835EA? .......Yes

Is the company required to prepare a Local File ........No

Is the company required to prepare a Master File ......No




Thanks in advance for the replies.
 

jpd

Registered User
Messages
2,427
hard to see anyone able to offer help with so little information
 

torblednam

Registered User
Messages
677
Unless the form is forcing you to fill in those fields, leave them blank. Transfer pricing provisions have no application to your company.
 

jpd

Registered User
Messages
2,427
Don't understand how you can deduce that from the little information imparted by the OP.

It's probably the case, but as always with tax, the devil is in the details
 

torblednam

Registered User
Messages
677
Don't understand how you can deduce that from the little information imparted by the OP.

It's probably the case, but as always with tax, the devil is in the details
Because the OP has given enough detail in one single sentence:

"We are a small limited company, with only the directors in it, very small business, little income, local business, no trading outside the state and no associated companies."

I'm open to correction but I can't envisage any scenario where TP rules will apply to what the OP described there. By definition there has to be an associated entity with which there are transactions that need to have arm's length principles applied.
 

Antonie

New Member
Messages
2
Thanks a lot for the replies. I will try filing leaving the fields blank since transfer price provisions do not apply to my company. In the case the form forces me to, if I have to fill in the fields, would it be correct if I do it in the way suggested in my previous post?
 
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