Transfer-Pricing Method Selector

Select a transfer-pricing method from caller-confirmed data availability without making a compliance determination.

Description

Transfer-pricing methods use different comparability evidence.

Transfer-pricing methods use different comparability evidence. This selector reports a method only when exactly one of three evidence patterns is available.^[1]

Select a transfer-pricing method from caller-confirmed data availability without making a compliance determination.

When to use Transfer-Pricing Method Selector

Use this tool to select a transfer-pricing method from caller-confirmed data availability without making a compliance determination.

Choose the specific arithmetic or checklist scenario and establish its input amounts, dates, rates and criteria from the applicable records. Keep currencies, periods and jurisdictions consistent; review the tool-specific assumptions before interpreting the result.

How to use Transfer-Pricing Method Selector and understand its results

Choose the specific arithmetic or checklist scenario and establish its input amounts, dates, rates and criteria from the applicable records. Keep currencies, periods and jurisdictions consistent; review the tool-specific assumptions before interpreting the result.
Enter reliableComparablePrice, reliableResaleMargin, reliableCostBase, reliableMarkup using the field table and calculation rules, then run the tool.
Read selectedMethod, supportedMethodCount. The explanation below defines the units, signs, ordering and any flags or placeholder values.
If the tool reports an input issue, correct the values and run it again. Apply the stated assumptions when interpreting a successfully returned result.

Input field	Meaning	Value type; see rules below	Requirement
reliableComparablePrice	Reliable uncontrolled comparable price	boolean	Required
reliableResaleMargin	Reliable resale margin	boolean	Required
reliableCostBase	Reliable cost base	boolean	Required
reliableMarkup	Reliable arm’s-length markup	boolean	Required

Set the comparable-price, resale-margin, cost-base and markup availability flags. A comparable price enables CUP; a resale margin enables resale-price; cost-base plus markup enables cost-plus. Zero or multiple candidates return insufficient-data.

candidateCount=CUP+resalePrice+costPlus; select only if candidateCount=1

Units, indexing, boundary conditions and exceptional cases are defined in the calculation rules above.

Output field	Meaning	Value type
selectedMethod	Selected method	string; one of "cup", "resale-price", "cost-plus", "insufficient-data"
supportedMethodCount	Supported method count	integer; minimum: 0

json

{
  "input": {
    "reliableComparablePrice": true,
    "reliableResaleMargin": false,
    "reliableCostBase": false,
    "reliableMarkup": false
  },
  "output": {
    "selectedMethod": "cup",
    "supportedMethodCount": 1
  }
}

Limitations and assumptions

This is an evidence-pattern selector, not an arm’s-length study or ranking of methods. Multiple candidates deliberately require further review.

Numeric inputs must be finite. Follow the calculation-specific rules for overflow, underflow and exceptional cases. Missing required fields, extra fields, wrong value types and violations of the calculation rules are input errors.

Alternative or Complementary methods

Use Partnership Allocation Check: Check whether partner allocations reconcile to the partnership total. For a complementary task, use LOB Criteria Check: Compare caller-supplied requirements and observations for lob criteria check.

References

Transfer-Pricing Method Selector — tool.io

Similar or alternative tools

Partnership Allocation Check
Check whether partner allocations reconcile to the partnership total.
LOB Criteria Check
Compare caller-supplied requirements and observations for lob criteria check.