Tax Professional (SA) Practice Questions - SAIT EISA Tax Professional Board Examination Exam

The terms and conditions must reflect arm's-length pricing; if non-arm's-length terms reduce SA taxable income, the taxable income must be adjusted and the difference treated as a deemed dividend (or deemed gift) Transactions between connected persons are completely exempt from tax review Transfer pricing rules apply only if transaction value exceeds R10 billion Connected persons can freely set any transfer price to minimize overall global tax