Angel One - Share Market Trading and Stock Broking
Skip to main content
Taxes

Round trip transaction

As a finance expert, it's important to understand the concept of transfer pricing abuse. This occurs when a parent company creates intangible property and then licenses it to a related party manufacturer in a low-tax jurisdiction. The manufactured goods are then sold back to the parent company for distribution to consumers. This practice can lead to lower tax payments and potential financial gains for the parent company. It's crucial to be aware of such tactics in order to make informed financial decisions.

Related terms

Graduated rate

Understand the meaning and definition of Graduated rate in the context of stock market, trading, and investments.

MORE
Supplemental assessment

Understand the meaning and definition of Supplemental assessment in the context of stock market, trading, and investments.

MORE
Motive test

Understand the meaning and definition of Motive test in the context of stock market, trading, and investments.

MORE
Value added tax (vat)

Understand the meaning and definition of Value added tax (vat) in the context of stock market, trading, and investments.

MORE
Unitary tax system

Understand the meaning and definition of Unitary tax system in the context of stock market, trading, and investments.

MORE

Open Free Demat Account!

Join our 3.8 Cr+ happy customers

+91
Explore other categories
Enjoy Zero Brokerage on Equity Delivery
10 Cr+DOWNLOADS

Enjoy Zero Brokerage On Stock Investments

Get the link to download the App

Scan this QR code to download the app
Get it on Google PlayDownload on the App Store