Category: Valuation – DCF and CUT/CUPs
In transfer pricing, valuation of (intangibles) assets are often based on a prior acquisitions of shares in the relevant business – CUT/CUPs.
In situations where reliable CUP for a transfer of assets cannot be identified, it may also be possible to use valuation techniques to estimate the arm’s length price for assets transferred between associated enterprises.
In particular, the application of income based valuation techniques, premised on the calculation of the discounted value of projected future income streams or cash flows derived from the exploitation of the intangible being valued, may be useful.
Depending on the facts and circumstances, valuation techniques may be used by taxpayers and tax administrations as a part of one of the five OECD transfer pricing methods described in Chapter II, or as a tool that can be usefully applied in identifying an arm’s length price.

Israel vs Medingo Ltd, May 2022, District Court, Case No 53528-01-16

US vs TBL LICENSING LLC, January 2022, U.S. Tax Court, Case No. 158 T.C. No 1 (Docket No. 21146-15)

Spain vs Narcea Producciones y Promociones S.L., January 2022, Tribunal Superior, Case No STSJ M 122/2022 – ECLI:ES:TSJM:2022:122

Italy vs Felofin S.p.A. , November 2021, High Court, Case No 36093/2021

Switzerland vs A AG, September 2021, Administrative Court, Case No SB.2020.00011/12 and SB.2020.00014/15

France vs SA SACLA, December 2021, CAA of Lyon, Case No. 19MA04336

Poland vs A S.A., June 2021, Provincial Administrative Court, Case No I SA/Gl 1649/20

Portugal vs “B Restructuring LDA”, February 2021, CAAD, Case No 255/2020-T

India vs. M/s Redington (India) Limited, December 2020, High Court of Madras, Case No. T.C.A.Nos.590 & 591 of 2019

Denmark vs. Software A/S, September 2020, Tax Court, Case no SKM2020.387.LSR

Bulgaria vs KEY END ES ENERGY, April 2020, Supreme Administrative Court, Case No 4972

Czech Republic vs. Automotoklub Masarykův, January 2020, Supreme Administrative Court, Case No. 9 Afs 232/2018 – 63

Denmark vs Engine branch, January 2020, Tax Tribunal, Case No SKM2020.30.LSR

Israel vs Broadcom, December 2019, Lod District Court, Case No 26342-01-16

US vs Cavallaro, October 2019, TC Memo 2019-144

Israel vs Broadcom, Aug 2019, Israeli Supreme Court, Case No 2454/19

Norway vs Saipem Drilling Norway AS, August 2019, Borgarting lagmannsrett, Case No LB-2018-55099 – UTV-2019-698

US vs Amazon, August 2019, US Court of Appeal Ninth Circut, Case No. 17-72922

Uruguay vs Philips Uruguay S.A., July 2019, Tribunal de lo Contencioso Administrativo, Case No 456/2019
