Australian Tax Office Updates Transfer Pricing Compliance Approach for Inbound Distribution Arrangements

The Australian Taxation Office (ATO) has announced the publication of updates to Practical Compliance Guideline PCG 2019/1 on the ATO's transfer pricing compliance approach for inbound distribution arrangements. Key aspects of the update include:

• Revised profit markers for certain sectors, including life sciences and information and communication technology (ICT), reflecting updated benchmarking/economic data;
• A clearer definition for inbound distributors of digital products/services and fu…