Expert Resources

Take advantage of our free expert resources, written by the experts at LCN Legal, based on their practical experience of working with multinational groups and their advisers across the globe. If you are interested in these areas, you may wish to bookmark this page to check back regularly for new information.

Paul Sutton

Coca-Cola: Contractual terms vs economic substance

In transfer pricing analysis, which prevails: the contractual terms of a related party transaction, or the economic substance? The general view expressed by many TP professionals is that economic analysis is king. The Court’s decision in the recent Coca-Cola case shows that this view is at best simplistic – and for practical purposes as a guide …
Paul Sutton

TP functions vs legal transactions

One of the perennial challenges in the legal implementation of transfer pricing policies is reconciling differing perspectives: those of functional analysis on the one hand, and legal rights and obligations on the other. A classic example is routine returns for distribution and production functions, as in the recent Coca-Cola case. As the US Tax Court …
Paul Sutton

Price setting vs outcome testing in Germany and Poland

The following article has been kindly contributed by Dr Harold McClure, a New-York based economist who has over 25 years of transfer pricing experience. Dr. McClure received his Ph.D. in economics from Vanderbilt University in 1983 and began his transfer pricing career at the IRS. He later worked at several Big 4 accounting firms, Law and Economics …