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US | Increased IRS funding from Inflation Reduction Act will likely affect transfer pricing cases

|Tax Alerts, National/Federal Taxation, T ...|United States
United States

  • Increased funding for IRS enforcement, provided under the newly enacted the Inflation Reduction Act, will likely increase IRS scrutiny of transfer pricing cases.

  • Taxpayers should proactively enhance their transfer pricing documentation and consider tax dispute resolution tools.

The United States (US) Inflation Reduction Act (IRA), enacted on 16 August 2022, allocates nearly US$80 billion1 in new funding for the Internal Revenue Service (IRS). Of that $80 billion, more than $45 bil…