A valid and binding contract must be concluded between the group`s companies. The contract must be concluded in a timely manner before the start of the service. In these cases, there is no clause in the contract relating to industrial property. For example, it should be noted that they may fall within the category of the service contract: or, another example is intragroup financing, which has been grouped on heavier terms than market financing. All of this is the source of the parent company`s promotion letters and the recipient company`s inability to access the bank loan. The contract proposal may also be represented by a letter from the applicant containing the conditions that determine the contractual relationship: standard outline of the contract for training activities Standard training scheme of the research contract – Continuity The contract must contain a detailed description of the benefits and methods of determining the agreed consideration. In addition, it is also advisable to indicate payment times and methods. It covers monographic studies, technical or scientific advice, advice on design activities, feasibility studies, technical and scientific assistance, and coordination or monitoring activities. Contractual procedures governing the provision of services within a group are the most diverse.
The tax administration`s findings on intragroup service contracts focus on the lack of the requirement for efficiency and insurrence. The purpose of the organization chart is to show that centralized functions are not intended to perform the control functions of the parent company. On the other hand, it stresses that there is no double cost. Intragroup service contracts are designed to coordinate formally autonomous business decisions. The principles of examining the existence of an effective service as set out in the OECD guidelines are as follows: compared to different situations, the new regulation identifies two types of relationships: as a general rule, two types of agreements are distinguished according to the methods of determining the counterparty. The value of intangible assets when managed by intragroup service contracts must also be documented. Or the breakdown can be done by a fee for the cost of hours worked for each unit, for example.B. With the introduction of the new Industrial Property Regulation, it has become necessary to review the standard rules for research contracts. “OECD Transfer Pricing Guidelines for Multinational Enterprises and Tax Administrations” In practice, assessing the extent of a single transaction between two entities in the same group should be the subject of an overall assessment of the relationship between them. The clause to be included in contracts to be entered into with public bodies in accordance with the law of August 13, 2010, N. 136, as well as subsequent amendments.
There must be a periodic group report, i.e. documents that periodically indicate the services provided. Contracts for the provision of intragroup services are often financially managed. The scope and content of these contracts depend primarily on the group`s organizational model and the nature of the activity it performs. Another important element is the documentation which attests to the absence of a stand-alone administrative structure in the subsidiaries. Through these principles, we must identify all possible variables that have influenced the determination of consideration of the transaction.