Transfer Pricing of Intangiblesfor Cross-Border Transactions of Associate Companies The  : Comparative Study for Intercompany Transfer of Automobile’s Part

Abstract: Nowadays, there is a lot of creativity in the intellectual property according to the rapid development of technology. Some group companies which has created their intellectual properties usually have the transferred of right between each associated company for the use of intangibles which reflect that the price in such transfer also need to be taken into consideration that it has to be charged in arm’s length, not for free of charge. In this regard, to see what the method and procedure in order to analyze the appropriate price for the intercompany transfer of intellectual property is the critical issue at present. As Thailand does not have the clear regulation in terms of transfer pricing yet, to use the guideline from the OECD TPG as well as the CFR of the United State might be able to help the taxpayer as well as the tax authority for the analysis of arm’s length in practice in terms of finding the most appropriate method for the cross-border transfer of design of automobile’s part from subsidiary to headquarter. Thus, to have the comparison on the analysis of finding the arm’s length of intangibles from OECD TPG and the law of the United States would be a great way to assist in making clearer vision on the method of finding intangibles’ transfer pricing within the group company.