OECD Releases Discussion Draft on Transfer Pricing Aspects of Financial Transactions

OECD Releases Discussion Draft on Transfer Pricing Aspects of Financial Transactions: Today, the OECD released its latest discussion draft on the application of transfer pricing principles to financial transactions. The first part of the draft provides guidance on the application of the OECD’s Transfer Pricing Guidelines to financial transactions. The second part of the draft addresses specific issues relating to the pricing of financial transactions, such as treasury function, intra-group loans, cash pooling, hedging, guarantees, and captive insurance. The deadline to submit comments on the draft is September 7, 2018.