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Reading the tea leaves: What does the Singapore TP landscape hold for 2021?

From a Singapore TP perspective, there were two main TP related developments. 2020 will probably be remembered primarily for COVID-19 as governments, businesses and individuals alike dealt with the fall-out from the pandemic. However, in the world of transfer pricing (TP), there were some significant developments as well. These include the issuance of the ‘Transfer Pricing Guidance on Financial Transactions’ by the OECD and substantial progress on pillar one and pillar two proposals by the OECD/G20 Inclusive Framework. From a Singapore TP perspective, there were two main TP related developments. The first was the issuance of guidance related to transactions impacted by COVID-19. Thereafter, in November 2020, the Inland Revenue Authority of Singapore (IRAS) also issued guidance on how TP adjustments will be treated from a goods and services tax perspective.

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