Real Estate Transfer Pricing
In recent years there have been significant changes to the real estate tax landscape, such as changes to the tax treatment of Non-Resident Landlords and the implementation of UK Qualifying Asset Holding Companies (“QAHC”) regime, which have a knock-on impact on transfer pricing.
Our team is focused on assisting our real estate clients with forward-thinking and expert led advice on all aspects of transfer pricing, including developing, documenting, implementing, and defending transfer pricing strategies. We also advise credit funds and their investments on their transfer pricing policies and risks. Our services include:
Transfer pricing policy design and documentation for real estate funds including residual profit split analysis
Financial Transactions across all real estate asset classes:
- Thin capitalisation analysis and pan-European financing structure policies for future European acquisitions
- Interest rate benchmarking across multiple jurisdictions
- Pricing of intercompany financing arrangements including cash-pooling, upstream loans and on-lending arrangements
- Transfer pricing of financing company structures and treasury functions
- Developing and documenting transfer pricing policy frameworks for intercompany financing arrangements
Restructuring: Evaluating and updating transfer pricing arrangements for businesses in distress
Transfer Pricing Policy Planning: Policy reviews, planning and design for intercompany transactions including Opco/ Propco splits and intercompany lease agreements, asset management fees, investment advisory services and management services
Transfer Pricing Policy Implementation: Practical assistance and solutions for implementing transfer pricing policies
Transfer Pricing Documentation: Master File, Local File and Country-by-Country Reporting (“CbCR”) including advising on the most pragmatic way of managing documentation for clients with a high volume of legal entities
Dispute and resolution: identifying and resolving transfer pricing risks identified as part of due diligence processes, negotiating Thin Capitalisation Agreements (“ACTAs”) and Advance Pricing Agreements (“APAs”) with HMRC, and negotiating with tax authorities on transfer pricing enquiries.
Our award-winning team consists of individuals with backgrounds from international professional service firms as well as HMRC. We work alongside and draw on the experience of our real estate commercial and tax teams as well as the real estate debt specialists at FTI Consulting to apply unique market insights to our transfer pricing analysis. We also provide multijurisdictional transfer pricing support to our clients, working closely with our colleagues in the WTS Global International Network.
As FTI Consulting is free from audit and assurance client relationships, we will always be positioned to defend a client’s transfer pricing policies and advise them on an ongoing basis.
