On 20 September 2021, the Puerto Rico Treasury Department (PRTD) has issued Administrative Determination (AD) No. 21-08, which amends AD No. 21-05 of 11 May 2021. The AD 21-08 clarifies guidance on submitting transfer pricing studies (TPS).
AD 21-05 provides that taxpayers had to file Form 6175-Certification of Compliance with Sections 1033.17(a) (16) and (17) of the Code, within 30 calendar days of a request.
AD 21-08 amend AD 21-05 and clarifies about the transfer pricing study:
- the Certification must also include the issuance date of the TPS and the name of the entity that prepared said study;
- the TPS must be submitted to the PRTD within 30 days of a request;
- the method of apportionment or allocation of gross income, deductions, credits or allowances in the Return are reasonably based on said TPS.