The impact of transfer pricing laws on import mis-pricing – Evidence from Denmark
Abstract
Many countries have recently introduced transfer pricing regulations to constrain multinational profit shifting from high-tax to lower-tax affiliates through strategic mis-pricing of intra-firm trade. We rely on rich administrative firm-level trade data for Denmark to show that tighter transfer pricing rules effectively reduce tax-motivated trade mis-pricing.
Keywords
Anti-shifting provisions; Transfer pricing
Cite as
Knoll, B., Kruse-Becher, S., & Riedel, N. (2023). The impact of transfer pricing laws on import mis-pricing — Evidence from Denmark. Economics Letters, 233.Details
Publication type
Research article (journal)
Peer reviewed
Yes
Publication status
Published
Year
2023
Journal
Economics Letters
Volume
233
Publisher
Elsevier B.V.
Language
English
ISSN
0165-1765
DOI