Intangible Transactions and Profit Allocation in the Semiconductor Industry

Journal
Lin, Y. (Yishian)
Chinese Taipei
International Transfer Pricing Journal 2021 (Volume 28), No. 4
FormatPDF
EUR
40
| USD
45
(VAT excl.)

Intangible assets are the core value of the semiconductor industry. Complexity arises in the profit allocation among related parties because the arm’s length principle is hard to apply due to the unique nature of intangible transactions. This article explores the commercial activities of the semiconductor business and analyses possible solutions from some BAPA cases in local practice.