The General Tax Authority has extended the deadline for Transfer Pricing Local file and Master file submissions

On 17 June 2021, the Chairman of the General Tax Authority (GTA) in Qatar issued Decision No. 8 of 2021. As per this Decision, the due date to submit the Master file (MF) and Local file (LF) to the GTA has now been extended to 30 September 2021.

Summary of Transfer Pricing (TP) requirements
 

TP Disclosure Form (DF):
 

• The TP DF must be filed on the same day that is specified for filing the annual corporate income tax return.
• There has been no extension for submission of corporate income tax returns or the TP DF.
• Resident entities and permanent establishments in Qatar are required to submit a TP DF if they undertake related party transactions (domestic or cross-border) and have a turnover OR total assets of more than QR. 10,000,000 in the financial year.
   

MF and LF:
 

• As per the Decision, the MF and LF should be submitted no later than 30 September 2021.
• It may be noted that this extension is provided as an exception to provisions of Article (8) of the Decision No. (4) of 2020 which required MF and LF submission by 30 June 2021 by certain taxpayers.
• The obligation to submit MF and LF applies to taxable years beginning on or after 1 January 2020.
• Resident entities and permanent establishments in Qatar are required to submit a MF and LF if they undertake cross-border related party transactions and have a turnover OR total assets of more than QR. 50,000,000 in the financial year.

Key takeaways
 

• The guidance issued by the GTA provides taxpayers with additional time to prepare and submit the MF and LF.
• The extended deadline for MF and LF allows taxpayers additional time to prepare robust TP documentation that would be useful during audits.

Deloitte will continue to support you in your tax related queries. If you have any further questions, please get in touch with one of the team members below: