Approach to Services Transactions in Malaysia
Services transactions are the most challenged transaction in the Malaysian region. Why?
Because is easy to challenge. Most authorities know very well what to expect and how to challenge they are well trained. In other words is easy money to get.
The myth that using the “cost plus 5% mark-up” practice for any intra-group services transaction makes an organisation compliant with
transfer pricing regulations runs deep and is widely followed, but is ultimately erroneous.
During this webinar, participants will gain practical tips to manage a company’s transfer pricing policy and processes with regard to intra-group services transactions.
IN THIS WEBINAR WE'LL COVER
The key challenges and risks including:
- Issues with evidence of benefit test
- Issues with cost base analysis
- Issue with inappropriate implementation of mark-ups.
- Discrepancies between GL and invoices.
- Loss makers, how can a service company be a loss maker?
- Case studies of each scenario
15 July 2021
2:00 - 3.00pm (Malaysia time)
HONG CHUAN TAN
Hong Chuan Tan has over eight years of experience in transfer pricing and GST. Before joining Transfer Pricing Solutions, Hong Chuan was a Transfer Pricing Manager in BDO Malaysia. He played a key role in pioneering and developing the transfer pricing practice in Malaysia.
He specialises in the area of transfer pricing where he manages a portfolio of clients comprising companies from a broad range of industries such as mining; electrical and electronics; plastic products; construction and property development; hotels; real estate; oil and gas amongst others. He has prepared transfer pricing documentation (Master File and Local File) for the Asia Pacific region, in particular Australia, Malaysia, Singapore and the Philippines.
He possesses experience in working with leading brands with the primary focus to exceed the expectations on clients’ service delivery while ensuring optimum brand impact. He is able to provide effective and resourceful information on the transfer pricing related problems, provide recommendations for the client’s business and process improvements.
Adriana Calderon has extensive international experience with Big Four and mid-tier firms advising multinational companies in the areas of corporate and international taxation across South America, the US, Australia and the Asia Pacific Region.
As a TP practitioner, Adriana has advised companies in the Asia Pacific Region across various industries and in a wide range of
projects associated with planning, compliance and dispute resolutions with tax authorities. She has also participated in specialised
projects involving pricing of financial transactions, business restructures and negotiation of APAs. Most recently, she has
participated in TP planning projects to implement BEPS’s Action Plan and country-by-country reporting.
*Asia Tax Awards 2017 by International Tax Review
Cavin Tai is a transfer pricing specialist with over nine years of experience in advising multinational companies in Australia, Asia, and the USA.
Cavin has spent the first two years of his career as a senior analyst in another Professional Service Transfer Pricing team in Malaysia where he develops extensive knowledge in analytics. With this experience, Cavin has helped develop, tailor and apply comprehensive analytic solutions to assist clients across the Asia region (including Malaysia, Singapore, Japan and Thailand) with resolving transfer pricing disputes.
In Australia, Cavin has worked on a broad range of complex transfer pricing controversy and planning projects where he helped his clients obtain most favourable results by adopting practical, commercial strategies that partner with viable transfer pricing solutions.
During his career, Cavin has advised multinational both in Australia and overseas on various transfer pricing issues including planning, development and implementation of global transfer pricing policy, transfer pricing compliance (Documentation & Country-by-Country reporting) and controversy (Audit Defence).
With increasing scrutiny, transfer pricing audits are becoming more common. Failure to comply with documentation requirements can lead to significant penalties.
The IRBM has recently issued a Frequently Asked Questions to address the questions taxpayers and tax professionals regarding the Transfer Pricing Surcharge.
Malaysia taxpayers will be required to include the date on which their contemporaneous TP documentation is completed from YA 2023.