The Inland Revenue Department of Nepal published new Guidelines on Transfer Pricing on 6 October 2024. The guidelines provide:
- Relevant definitions, including a related party definition of 50% direct or indirect ownership;
- An introduction on transfer pricing and the arm's length principle;
- Guidance on performing a comparability analysis, with examples;
- The allowed transfer pricing methods with examples, which include the five standard methods in the OECD guidelines; and
- The required transfe…