Transfer Pricing Services in Dubai, UAE
Balancing Value, Building Trust
Transfer Pricing
Aligning Business. Ensuring Compliance.
Transfer pricing rules apply to any UAE business that deals with related parties or connected persons, whether in the UAE or abroad. This guide explains what the rules require, and HAS Global Tax Consultants helps you comply, from risk review and benchmarking to Local File, Master File and the disclosure form. For our full range of support, see our transfer pricing services.
What is Transfer Pricing?
Transfer pricing is the practice of determining the price for goods, services, or intellectual property exchanged between related companies within the same group. UAE law requires these prices to follow the arm’s length principle—that is, they must match what independent parties would pay in similar circumstances. This principle is crucial for preventing profit shifting and ensuring fair tax reporting across borders.
Our Transfer Pricing Services
Risk reviews and impact assessments for all intercompany transactions
Transfer pricing planning, benchmarking, and method selection
Preparation of disclosure forms, Local Files, Master Files, and CbCR
Support during FTA audits, queries, and dispute resolution
Strategic advice for tax optimization and business transformation
UAE Transfer Pricing Regulations: Key Details
Who Must Comply: All UAE businesses with related party or connected person transactions—whether domestic or cross-border—must comply, regardless of free zone status or corporate tax grouping.
Why Choose HAS Global?
Deep expertise in UAE and international transfer pricing rules
End-to-end compliance and documentation support
Tailored solutions for businesses of all sizes
Related services: benchmarking, disclosure form, compliance and documentation, defence services and corporate tax return filing. See all transfer pricing services in the UAE.
Transfer Pricing FAQs
How does the UAE's transfer pricing framework impact Free Zone entities
The UAE’s transfer pricing rules apply to Free Zone entities, even those enjoying a 0% tax rate. To keep tax benefits, Free Zone companies must:
Follow the arm’s length principle for all related-party transactions
Prepare transfer pricing documentation (Local File, Master File) if revenue thresholds are met
Submit a disclosure form if related-party transactions exceed AED 40 million
Maintain proper records to avoid losing 0% tax status and facing penalties
In short, Free Zone entities must meet strict transfer pricing and documentation requirements to keep their tax advantages and avoid fines.
How can businesses conduct a robust comparability analysis for transfer pricing purposes
To conduct a robust comparability analysis for transfer pricing:
Define the transaction and document key terms, functions, assets, and risks (FAR analysis).
Select the best transfer pricing method (e.g., CUP, TNMM, Profit Split) based on your transaction and available data.
Identify comparables using internal or external data sources, focusing on similar industry, functions, and markets.
Adjust for differences between your transaction and the comparables (e.g., working capital, geography).
Determine the arm’s length range and ensure your pricing falls within it.
Document everything clearly, including method choice, data sources, adjustments, and results.
Regularly update your analysis and consult experts to stay compliant and minimize audit risks.
Why is transfer pricing significant in the UAE?
With the recent introduction of corporate tax, the UAE’s historically tax-friendly environment is changing. Transfer Pricing Services in Dubai have become vital, as compliance with transfer pricing regulations is now mandatory for businesses operating in the region.
What is the arm's length principle?
The arm’s length principle requires transactions between related parties to be priced as if they were between independent parties. UAE Corporate Tax Law applies this principle, following OECD Transfer Pricing Guidelines.
Who needs transfer pricing documentation in the UAE?
Businesses with transactions between related parties or connected persons may need to maintain a Master File and Local File where prescribed revenue or group thresholds are met, and submit a Transfer Pricing Disclosure Form with the corporate tax return.
What is a Transfer Pricing Disclosure Form?
It is a form submitted alongside the corporate tax return that discloses the value and nature of transactions with related parties and connected persons, helping the Federal Tax Authority assess compliance with the arm’s length principle.
When must transfer pricing documentation be submitted?
The Transfer Pricing Disclosure Form is filed with your corporate tax return, within nine months of your financial year-end. Where required, the Local File and Master File must be prepared by that deadline and provided to the Federal Tax Authority within 30 days of a request.
Do the rules apply if all my related-party transactions are inside the UAE?
Yes. The rules cover transactions with related parties and connected persons, whether domestic or cross-border, and apply regardless of Free Zone status or corporate tax grouping.
Who counts as a connected person for transfer pricing?
Connected persons generally include owners, directors and officers of the business, and their relatives. Payments and benefits between them and the company must follow the arm’s length principle, and may need to be disclosed. We can review your specific position.
Need Help With Transfer Pricing?
Talk to our team for a free consultation.