OECD - Moldova. Transfer Prices

The Organization for Economic Co-operation and Development (OECD) is an international organization aimed at developing international standards and recommendations for improving state social, economic and environmental policies, finding ways to overcome problems and constraints on the path of economic growth and development of countries.

The list of OECD members and partners you can find HERE.

On December 14, 2023, the Republic of Moldova and the OECD signed the Memorandum of Understanding in Paris, which provides for the modernization of our country's economy, the attraction of investments and the acceleration of the EU accession process, based on which the Action Plan for the period 2024-2027 was agreed.

The action plan was consulted and agreed parallel to the signing of the Memorandum of Understanding between the Republic of Moldova - the Organization for Economic Cooperation and Development, concluded on March 8, 2024, in Paris.

OECD - Transfer Pricing

In a global economy where multinational enterprises (MNEs) play a prominent role, governments need to ensure that the taxable profits of MNEs are not artificially shifted out of their jurisdiction and that the tax base reported by MNEs in their country reflects the economic activity undertaken therein. For taxpayers, it is essential to limit the risks of economic double taxation.

The OECD Transfer Pricing Guidelines provide guidance on the application of the “arm’s length principle”, which is the international consensus on the valuation of cross-border transactions between associated enterprises.

Transfer Pricing - The legislative base:

• Tax-Code RM, Chapter 112 on Tranfer pricing
• Order of the Ministry of Finance of the Republic of Moldova no. 9/2024 Regulations on transfer prices
• The Ministry of Finance has initiated the process of developing a secondary regulatory framework related to the implementation of the concept of "advance pricing agreement".
• Agreements/Conventions for the avoidance of double taxation
• OECD Transfer Pricing Guidelines