Accounting · Odoo glossary

Transfer Pricing

Transfer pricing is the pricing of goods, services or other transactions between related entities.

Definition

In general ERP practice

Transfer pricing is the pricing of goods, services or other transactions between related entities. Commercial document values and the required documentation or tax treatment are separate concerns.

In Odoo

Odoo intercompany sales and purchases record the prices actually configured on commercial documents. This is the closest operational functionality; the multi-company workflow is not itself a transfer-pricing policy or a determination that the price satisfies a particular jurisdiction’s requirements.

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