Brazil - Lower Court Decision on Use of Original Formula for Resale Price Method
- L.E. Schoueri
- International Transfer Pricing Journal, 2011 (Volume 18), No 2
- 14 February 2011
On 19 August 2010, the Brazilian Regional Federal Court of the Third Region issued a decision in which it concluded that the calculation formula for the resale price method provided by Normative Ruling 243/02 is illegal, and that the applicable formula is the one provided by Law 9,430/96. This article analyses the main features of Brazilian legislation regarding the resale price method, as well as this lower court decision.