At the request of a Big 4 audit firm based outside Cyprus, we proceeded with a direct and indirect tax due diligence on a Cyprus company’s’ activities involved with IP licensing activities.
The scope of our work was, among others, to comment on the status of tax/VAT filings and payment of taxes, to analyze the VAT treatment adopted, to analyze the company’ financial statements for the years 2018-1st half 2021 to identify any significant tax risks, to summarize and comment on disclosed material intra-group or other non-arm’s length trading arrangements, to analyze the transfer pricing obligations and comment on possible tax risks that might arise in the future.