On 29 April 2021, the Peruvian tax authorities (SUNAT) has issued Administrative Guidance No. 036-2021-SUNAT/7T0000 providing guidance in relation to the use of multi-year data in determining arm’s length transfer pricing.
The guideline provides that data from two or more years before or after an audit can be used in determining whether or not transactions are comparable. However, such multi-year data may not be used to determine arm’s length price range for a transaction or adjustments. The guidelines also provide that, for comparability analysis purposes, it is possible to consider a non-resident subject that has made transactions with a taxpayer in Peru in order to assess whether arm’s length conditions are met.
