Comparability and compliance analyses

Our main task is to prepare a thorough analysis of historical data and planned transactions under specific terms and conditions, in such a way that the company’s objectives can be achieved and legal and tax risks can be reasonably minimised.

Scope of services

As part of its transfer pricing analyses and valuations, DMS TAX provides the following services:

• comparability analyses of transactions between related parties, involving a comparison of financial data (internal – based on the client’s data, or external – based on market data) according to objective comparability criteria,
• profitability analyses, involving an examination of the profitability of the client’s business operations in relation to comparable entities on the Polish market in a given financial year or over a period of years,
• valuations of individual tangible and intangible assets, organised parts of an enterprise, the entire enterprise, or shares and stock.

The purpose of the transaction comparability analysis is to justify the arm’s-length nature of transactions carried out with related parties. The profitability analysis examines overall profitability at the level of return on sales and operating profit, and, where justified, other financial ratios, including gross and net margins/profit, ROA, ROE and others.

When preparing these analyses, we draw on various data sources, including the Origodata database, which contains information on over 200,000 Polish companies, enabling a comprehensive analysis of commercial transactions, corporate bonds and many other financial aspects. Origodata also offers support in the design and implementation of settlement systems for groups of related entities.

We would be happy to provide detailed information on transfer pricing analyses and valuations. Please feel free to contact our advisors.