Transfer Pricing, How Costs of Employees is Born and Cross Charged


Published in: Mobility Monday's - Crowe UK

Tax issues and global mobility go hand in hand. There can be tax matters for the employee and for the employer. The corporate tax implications (tax matters that relate to the employer entities) are generally less well understood in the world of Mobility/HR, than the payroll and employee and employer issues.

Within the corporate tax area is transfer pricing. In the context of employee mobility, this is an area that concerns itself with how the cost of employees is borne and cross charged within a group. Mobility often has to work in partnership with finance and tax departments around this issue.