On September 23, 2025, the Lucena Team participated in a knowledge-sharing session on Transfer Pricing Rules and Taxation for Related Party Transactions – Part 1 & 2, conducted by Mr. Joshua Rafael Martin.

The re-echo session aimed to deepen understanding of the Bureau of Internal Revenue (BIR) requirements on transfer pricing, emphasizing its crucial role in ensuring fair taxation among related parties. The training highlighted the need for transparent documentation, proper allocation of income and expenses, and strict compliance with transfer pricing guidelines to prevent potential disputes and penalties.

Key Insights

1. Fundamentals of Transfer Pricing

   • Clarified the concept of related party transactions and their tax implications.

   • Discussed the arm’s length principle as the foundation of fair transfer pricing practices.

2. Documentation and Compliance

   • Stressed the importance of contemporaneous documentation to justify pricing policies.

   • Highlighted BIR requirements and deadlines for compliance reporting.

3. Tax Implications

   • Addressed how incorrect or poorly documented related party transactions can lead to tax assessments.

   • Provided examples of common pitfalls and best practices to avoid issues.

4. Practical Applications

   • Shared case studies demonstrating real-world challenges and solutions.

   • Encouraged the Lucena Team to proactively apply learnings in day-to-day operations.

Importance for YRABSC and Stakeholders

By conducting this re-echo session, the Lucena Team reinforced the firm’s commitment to ensuring tax compliance, ethical business practices, and professional excellence. The training is part of YRABSC’s continuing effort to equip its teams with up-to-date knowledge and tools needed to navigate the complexities of taxation in related party transactions.

This initiative also strengthens alignment with YRA & Co., CPAs, ensuring consistency in service delivery across the organization.

Stay connected with us for more updates and knowledge-sharing activities.🔗 Learn more on our official website: YRA & Co., CPAs