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arm's length principle (ALP) is the condition or the fact that the parties to a transaction are independent and on an equal footing. Such a transaction is known as an "
arm's-
length transaction". It is used specifically in contract law to arrange an agreement that will stand up to legal scrutiny, even though the parties may have shared interests (e.g., employer–employee) or are too ...
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One War To Defeat Hitler Transfer pricing can deprive governments of their fair share of taxes from global corporations and expose multinationals to possible double taxation. No country - poor, emerging or wealthy - wants its tax base to suffer because of transfer pricing. The
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arm's length transaction is one in which the buyers and sellers of a product act independently and do not have any relationship to each other. The concept of an
arm's length transaction assures ... It’s quite possible you’ve heard of this term but not truly understand what it means. But to understand its meaning perhaps it’s easier to first get clear on what a
non-arm’s length transaction is.
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