Transfer Pricing Forum
This is a forum for discussion between HMRC and the principal advisory firms active in the UK market in relation to transfer pricing (including thin capitalisation), permanent establishments and Diverted Profits Tax. The aim is to have exploratory discussion about emerging issues that are relevant to a range of cases. It is not intended for any case-specific discussion.
Participating firms (alphabetical order)
| Baker Mackenzie |
| BDO |
| Deloitte |
| DLA Piper |
| EY |
| Freshfields |
| Grant Thornton |
| KPMG |
| PWC |
| Skadden |
| Slaughter & May |
Terms of reference
Aims
The Transfer Pricing Forum (TPF) is intended as a forum for discussion between HMRC and the principal advisory firms active in the UK market in relation to TP (including thin capitalisation and other financial Transfer Pricing (TP) matters), permanent establishments (PE), and Diverted Profits Tax (DPT). The aim is to have exploratory discussion about emerging issues that are relevant to a range of cases. It is not intended for any case-specific discussion.
Rules of engagement
Discussion is strictly without prejudice to positions that may (or may subsequently) be adopted. Views expressed must not be referenced as a settled view of any firm or HMRC. Positions should not be assumed to be applicable to any current case.
No named or identifiable case is to be discussed in the meeting except to the extent that it is already in the public domain, for example because of litigation. Any such, exceptional, case reference would be solely for the purpose of its impact on the law or other cases, rather than the merits of the case itself (recognising that decided cases may be subject to appeal).
Without prejudice to the generality of the foregoing, each member accepts that HMRC’s participation in the forum is subject at all times to its statutory and other legal obligations.
The general rule will be to publish brief minutes on the GOV.UK website, to be agreed by all members. At the request of the organisation proposing an item it may, however, be omitted from the minutes. The author of materials circulated for discussion at the forum should state how widely each item can be shared by placing it in one of the following categories:
- recipient only (the allocated TPF member and their deputy)
- experts only (the allocated TPF member, their deputy, and relevant subject matter experts from within the firm)
- compartmentalised sharing (the allocated TPF member, their deputy, and TP specialists of an appropriate level from within the firm as decided by the firm)
- open sharing (can be discussed openly, including outside the firm, but subject to the requirements of the terms of reference, such as no use for promotion, etc)
If the author does not specify the extent to which materials can be shared then category 3, compartmentalised sharing, will apply by default.
No member shall refer to its membership for the purpose of promotion of its business, or otherwise seek to obtain pecuniary advantage from membership.
Membership
Within HMRC the deputy director for the transfer pricing team in Business, Assets and International is the sponsor of the TP Forum. Attendees from HMRC at meetings will always include representatives of that team and may include other representatives, including from Large Business, as appropriate to the meeting.
Advisory firms attending the Forum will be those in a principal position in the UK market for TP, PE, and DPT advisory work in relation to HMRC enquiries, advance pricing agreements, and mutual agreement procedure. A firm will be considered to have a principal position if it has a significant market share in any of the markets for advice in relation to any of the above. TP includes thin capitalisation and other financial transfer pricing matters. A firm may propose itself for membership of the forum by emailing the dedicated mailbox.
The membership of any firm in the forum is on condition of compliance with these terms of reference. In the event of a breach of the terms, HMRC may choose to suspend or terminate membership at its discretion. Membership will be published as an annex to these terms of reference.
Attendance
Attendance at the meeting will usually be limited to one person per firm. Organisations may nominate a deputy to attend when standing members are unable to do so. Consideration will be given to organisations nominating a specialist to attend when an agenda item requires specific expertise. Attendance may be in-person or virtual, but subject to the same restriction in either case. Exceptions to the one-person rule will be at HMRC’s discretion.
Hosting
Meetings will be hosted by firms in the forum in circulation. The hosting firm will set the agenda in discussion with HMRC and other firms. HMRC may also host meetings. Meetings may by agreement be configured as wholly virtual meetings. Meetings will generally be 2 hours long, but this may be varied by agreement. The hosting firm will provide a note-taker for the purpose of publishing minutes.
Frequency
The frequency of meetings may be varied from time to time according to need, but by default is approximately every 3 months. Ad hoc meetings may also be arranged as need arises. Agendas will be circulated at least 3 working days before the meeting and firms should propose agenda items at least one week in advance of the meeting.