April 11, 2024
February 1, 2024
Experienced Managing Partner with a demonstrated history of working in the accounting industry. Skilled in Internal Audit, Account Reconciliation, Accounting, Tax, and Financial Accounting. Strong accounting professional with a Master’s Degree focused in Insurance and social security from University of National and World Economy.
January 26, 2024
Kreston Global firm, Kreston Iberaudit, is hosting a webinar on settling and investing in Andorra. They will explore various residence options and the key requirements for investing in Andorra. The event will take place on February 22nd at 12:00 PM (Spain) / 11:00 AM (UK).
Prof. Giannina Tacca Soriano, an Expert Collaborator in the investment landscape of Andorra, and a partner at Kreston Iberaudit.
During this session, participants will receive updated information on the latest fiscal and migratory developments approved in Andorra. Additionally, they will have the opportunity to interact and ask questions.
This webinar is tailored for companies and individuals interested in investing in Andorra. The session will be conducted in English and is completely free!
Don’t miss the chance to gain valuable insights and make informed decisions.
We look forward to your active participation!
January 23, 2024
A guide to setting up business in Poland is the latest publication to be produced by a firm in the Kreston Global network to support clients looking to start a business in the country. The guide, written by experts at network firm Exco A2A Polska, describes Poland as a stable economy, with a strategic location in Europe and a skilled workforce. Its economy is robust, consistently growing, and represents one of the largest in the EU. Additionally, Poland boasts a variety of universities recognised for business education, making it an attractive destination for investors and entrepreneurs.
Read the full ‘Doing Business in Poland’ guide here
Setting up a business in Poland involves choosing the right legal structure. Options include sole proprietorship, limited liability companies, joint-stock companies, and various partnerships. Each structure has specific implications for management, liability, and tax obligations, which are crucial to understand for successful business operations.
Poland offers a favourable tax environment for businesses, including a reduced corporate tax rate for certain taxpayers and investment incentives under the Polish Investment Zone program. Understanding these tax structures and incentives is vital for maximising profitability and ensuring compliance.
Understanding regional variations and economic conditions across Poland is crucial. The business landscape varies significantly between regions, influencing opportunities and challenges. Knowledge of these regional dynamics can guide strategic decisions and market entry plans.
For a seamless business set-up in Poland, partnering with experienced advisors who understand the local business environment is essential. They can provide guidance on legal requirements, financial planning, and market entry strategies, ensuring a smooth transition into the Polish market.
Poland’s robust economy, strategic location, and favourable business environment make it an ideal destination for setting up a business. Understanding the legal and financial landscape is key to success in this dynamic market. With the right guidance and planning, entrepreneurs and investors can tap into the potential of the Polish market.
For expert advice on setting up a business in Poland, contact Exco A2A Polska today.
January 19, 2024
Welcome to the latest edition of Doing Business in Europe, written by Kreston Global experts from across the region. Ranking as the 11th largest network in Europe, Kreston Global has over 8,500 highly qualified staff in 60 member firms working in 33 countries across Europe.
In this issue, we explore the business landscapes of 14 European countries, benefitting from both Eastern and Western perspectives, and a look forward to 2024 and beyond. Our experts share insight on hot topics in the region, such as the EU VAT gap, the Next Generation EU (NGEU) fund supporting ESG initiatives, and the latest on ATAD 3 and the Unshell Directive. Our special report on transfer pricing offers critical insights for businesses, and look into the future with a special feature on the 10-year recovery plan for Ukraine.
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Julius Cincala is a partner at Kreston Slovakia, leading risk advisory and management consulting practices.
Zuzana, a Slovak accounting specialist, manages tax advisory and compliance projects, has expertise in financial audits, corporate and personal taxation, international taxation, value-added taxation, and transfer pricing across diverse business domains.
January 12, 2024
Central Europe’s manufacturing sector is being reshaped by EU Sustainability regulations, impacting countries like Slovakia, Romania, and Hungary. The aftermath of the Ukraine war and Germany’s reevaluation of its reliance on China have disrupted supply chains, driving up power costs and prompting a shift towards cleaner energy sources.
We inteviewed Július Činčala and Zuzana Sidorová of Kreston Slovakia, about how EU regulations affect doing business in the region.
Central Europe has traditionally played a smaller role in global manufacturing figures than other European neighbours. However, since the outbreak of the Ukraine war and Germany’s pre-Covid reliance on China, broken supply chains have driven up power costs.
Higher prices and new carbon reduction regulations favourably reposition countries like Slovakia, Romania and Hungary who have some of the highest shares of electricity from clean sources well above the West European average.
As the European Union grapples with balancing new environmental standards and maintaining its competitive edge on the global market, ambitious countries like Slovakia are becoming test beds for the new sustainability-focused landscape. With the advent of carbon emissions reporting within the EU, will listed and large companies relocate in droves to save money and carbon?
The EU’s commitment to environmental sustainability is not without its challenges. Činčala believes that it will be easier to relocate manufacturing outside of Europe, rather than deal with the complexity of carbon emission reporting, while the process is being established,
“Slovakia has always been an industrial country. However, the higher power costs have seen companies seek to relocate manufacturing operations to China. We see this with our clients now. They are freezing operations as transforming their business to meet carbon emissions far outweighs any cost saving or carbon saving they receive from being in Slovakia.
Although alarming, Činčala has been advising the Slovak government on dealing with these challenges for over 25 years, so has a clear view on the options available to the EU.
“If we want higher investments in green energy and business transformation we have to invest more in education, people, and transformation models. Currently, products that are manufactured outside of the European Union are cheaper because they’re not subject to the same level of regulation and transformation costs we face in the EU. This is why we need to find a way to fortify ourselves and our market. For example, by introducing new tax regulations on products made in third countries and imported into the EU.”
With some unrest in the region, Činčala’s colleague, tax expert Zuzana Sidorová, has advice for any businesses moving operations around Europe, specifically into Slovakia,
“In recent months, a number of companies have approached us to transfer their business from Ukraine territory to Slovakia or to another European country.”
In Slovakia, any company that does transactions within its group, either locally or across borders, must follow transfer pricing rules, in line with the OECD (Organization for Economic Co-operation and Development) guidelines.
In Slovakia, many international companies are considered “limited risk,” like manufacturers, distributors, or service providers. These companies often report losses despite having little decision-making power. Sidorová has clear advice for companies with limited risk businesses in satellite European countries;
“From a transfer pricing perspective, they shouldn’t be reporting losses. Tax authorities often investigate these loss-reporting, internationally-owned companies, leading to lengthy and difficult tax audits. These audits can result in extra corporate taxes and can be extended to cover multiple tax periods.”
Sidorová advises her clients making cross-border or local (Slovak) intra-group transactions needs to review and update its transfer pricing file on a yearly basis. The benchmarking analysis must be prepared every three years, with annual financial updates of comparables (compliance with OECD transfer pricing guidelines).
As the EU intensifies its sustainability focus, companies in Slovakia must adapt quickly. Success hinges on embracing green technology and understanding local tax and transfer pricing rules. It’s essential for businesses to align their operations with EU environmental goals, not just to comply with regulations, but to stay competitive and sustainable in the long run. Keeping up to date with any rapid tax updates in response to competitive markets is vital to maintain the viability of companies based in Slovakia. This strategic alignment by Slovakian companies is not only crucial for their own sustainability but also serves as a model for the wider European Union, demonstrating how economic resilience and environmental responsibility can coexist and drive progress across the continent.
If you are interested in doing business in Slovakia, please get in touch.
Sharon Omer-Kaye, a taxation specialist with 30+ years of experience, started her career at HMRC in 1989 and later transitioned to private practice in 1991. Armed with qualifications from the Chartered Institute of Taxation, Association of Taxation Technicians, and Society of Trusts & Estate, she excels in navigating tax complexities. Additionally, her affiliation with the Personal Finance Society/Chartered Insurance Institute highlights her expertise in personal finance and insurance.
Sharon Omer-Kaye, a partner at James Cowper Kreston, shares her insights on the challenges and opportunities for investing in the United Kingdom.
As economic uncertainties loom over the UK, the investment landscape has witnessed a delicate balance between risk appetite and caution among HNWIs. Sharon Omer-Kaye notes, “It’s a balance. People have a widespread investment appetite, and some are more comfortable taking a degree of risk.” While some investors seek perceived safer options, enticed by higher interest rates on cash returns reaching up to 6%, a more sophisticated perspective recognises elevated inflation’s impact on such returns’ attractiveness.
Government gilts, particularly appealing to those subject to higher tax rates, have emerged as a short-term strategic option, offering a potential compound return of over 8%. Meanwhile, investment managers appear to be tactically diverting funds towards commodities, such as gold and silver, to hedge against equity downturns amid market volatility.
In the equities space, the volatility in the FTSE is viewed as an opportunity for investments in undervalued UK companies. The property market undergoes a distinctive transformation, with a division in investor sentiment. While some divest from property portfolios anticipating a decline, others view the correction as an opportunity to acquire properties at discounted rates, especially in the residential market facing a correction in the imbalance between wages and property prices.
Amid the challenging economic environment, the focus shifts to factors that HNWIs seek to restore confidence and stability. Omer-Kaye emphasises the importance of recognising the broader global challenges, extending beyond the UK. Political stability becomes a critical factor influencing market sentiment, with frequent changes in leadership creating market nervousness.
She notes, “Achieving political stability and clarity is essential to calming the markets.” Lack of clarity creates a void in decision-making and restoring confidence hinges on resolving uncertainty about the future landscape and regulatory framework.
In navigating risks associated with the UK’s economic challenges, HNWIs adopt strategic approaches, assessing the current climate for potential investment opportunities. Omer-Kaye highlights the importance of a holistic view, considering exposure to cash, various investments, and tax-efficient instruments.
The strategic examination of the tax landscape becomes a crucial avenue for risk mitigation. Leveraging tax wrappers such as ISAs, EIS, and VCT investments provides a framework for strategic tax planning, aligning with the UK’s favourable tax regime for investing in high-growth companies.
Addressing the question of whether uncertainty is chasing away investors, Omer-Kaye suggests that the situation is nuanced. While some individuals may find the risks unappealing, uncertainty can create opportunities for confident investors. Political uncertainty contributes to hesitation, but the speaker dismisses the idea of investors being chased away, emphasising a wait-and-see approach.
The fluidity of the situation is acknowledged, with high-net-worth individuals exploring options without an immediate exodus. Commitment to the UK is highlighted, focusing on planning to navigate potential changes rather than an immediate departure.
High-net-worth individuals are encouraged to approach change flexibly, recognising that economic, political, and personal landscapes constantly change. In the face of uncertainty, innovation and adaptability become the guiding principles for navigating the economic landscape, demonstrating high-net-worth individuals’ resilience and strategic acumen in challenging times.
Sharon states, ‘As doors close, others open, prompting a need for innovative thinking and adaptability.’
If you are interested in doing business in the United Kingdom, please get in touch.
Investing in Romania is attracting budget-focused businesses eyeing expansion in Eastern Europe. Eduard Pavel from Kreston Romania sheds light on the current economic trends, investment climate, and the opportunities that Romania presents to the global business community.
In 2022, Romania witnessed a rise in foreign direct investment (FDI), marking a phase of steady economic growth. Despite this progress, Pavel points out a significant gap when compared to Germany’s FDI inflows. He states, “Romania did experience growth in 2022, but the amount is still significantly less than that of Germany.” This observation highlights Romania’s growing, yet comparatively modest, position in the European investment landscape.
After a shift in investment patterns, Pavel provides a cautious assessment of the general trend towards diversifying supply chains, a direct pivot from China to Europe, specifically Romania, isn’t definitively established.
“We cannot confirm that [clients] have shifted away from China and towards European suppliers.”
Romania’s green energy initiatives, while not the primary attractor, are influencing business decisions. According to Pavel, these initiatives are a contributing factor, albeit not the main reason behind multinational corporations’ interest in Romania. “The country’s green initiatives do play a role in attracting businesses,” he notes, indicating that Romania’s environmental commitments are resonating with the global business ethos. “Despite the emphasis on green energy, there hasn’t been a significant increase in inquiries from multinationals looking to relocate or start businesses in Romania due to these initiatives.”
One of the most pronounced trends observed in the past year is the shift towards automation and digitalisation. Pavel attributes this change to the pandemic, which has altered business practices globally. “Clients are paying more attention to automation and digitalisation,” he remarks, highlighting a broader trend that is influencing business strategies in Romania and beyond.
Looking ahead to 2024, Eduard Pavel offers practical advice for international businesses considering expansion into Romania. He emphasises the importance of understanding local market dynamics and the regulatory environment. “Make sure to research the market, understand the legislation, and pay attention even to the nuances,” Eduard advises, underlining the need for a well-informed approach. He also stresses the significance of building long-term relationships in Romania’s relationship-driven business culture.
If you are interested in doing business in Romania, please get in touch.
Rezar Llukaçej, Founder and Managing Partner of Kreston Albania, boasts over 20 years of extensive experience in the financial services industry. Throughout his career, he has diligently cultivated a vision aimed at establishing a distinctive company within the market, fueled by a commitment to excellence and the inheritance of core values.
Investing in Albania is driving the transformation of the nation into a hub for foreign investments in the heart of the Balkans. Central to this shift is the strategic repositioning of Albanian resorts, like Ksamil, as cost-effective alternatives to well-known European destinations.
Rezar Llukaçej, managing partner at the Kreston Albania office in Tirana, provides a comprehensive local perspective on the evolving economic landscape, shedding light on the factors that are establishing the groundwork for Albania’s EU accession.
Albania’s investment appeal has been significantly bolstered by proactive regulatory developments in the past year, offering preferential changes to some sectors they are keen to see grow. Rezar Llukaçej stresses that these sectors have seen the adoption of special legislation aimed at encouraging strategic investments, crucial for the nation’s economic development, “Albania maintains a liberal foreign investment regime to attract Foreign Direct Investment (FDI). The FDI flow in 2022 exceeded EUR 1.37 billion, thanks to the government prioritising sectors like tourism, manufacturing, energy, agriculture, oil and mining, and ICT.”
Llukaçej identifies the key to the success of these improvements has been special legislation aiming to encourage and incentivise strategic investments.
“It calls for important capital investments that are implemented in key economic sectors, strategic for the development of the country.”
“The Law on Foreign Investment provides comprehensive safeguards for foreign investors,” Llukaçej says. He explains that it permits 100% foreign ownership in most industries, with only minor restrictions in areas like air transport and television broadcasting. He further highlights the pivotal role of the Albanian Investment Development Agency (AIDA), which guides foreign investors through the application process and confers the status of strategic investment/investor.
Llukaçej highlights it is not all smooth sailing, but the Albanian government has not taken its eye off the ultimate goal,
“There is always a demand for improvement in the regulatory framework and the government is actively working in that direction of maximising the opportunities to attract investors in the country due to the twining transition impact in the economy and industrial transformation.”
Llukaçej notes significant growth in energy and tourism, “Albania has worked on various energy projects to diversify and improve its energy infrastructure, developing the potential to improve its energy efficiency. There has been an increase in interest from investors regarding solar and wind projects, plus the development of hydropower projects, as Albania has significant hydroelectric potential. The country has also worked on interconnection projects with neighbouring countries to increase energy security.”
Tourism, has also seen remarkable development. “The Bank of Albania has even announced recently that in the first 6 months of 2023, the expenses of foreigners who travelled to Albania reached a total of EUR 1.55 billion. This is the highest figure recorded after the 1990s. Due to this interest from investors continues to be high, as the need for new accommodation structures will enable investors to explore new investments in this sector.”
Llukaçej paints a picture of a country on the cusp of a tourism boom. “The plan for large infrastructure projects is not just about enhancing tourist experience but also about consolidating growth in this sector,” he explains.
In parallel, the real estate and construction sectors are buzzing with potential. Llukaçej’s insights reveal a nuanced investment climate, particularly appealing due to Albania’s favorable legislation for property investment. “There’s an intriguing interplay between the opportunities for foreign investors in real estate, whether it’s through leasing agricultural land or the strategic purchase of commercial properties,” he notes. This sector’s growth is intricately linked to the burgeoning tourism industry, creating a symbiotic relationship between the two.
Llukaçej also touches on the growing importance of business skills training and education. The demand for programs focusing on business management, corporate governance, and navigating the challenges of green and digital transformations points to a burgeoning market in educational services. “This is about preparing the workforce for the future, aligning skills with the evolving demands of our economy,” he asserts.
Support for small and medium-sized enterprises (SMEs) is another key focus. Llukaçej envisions a landscape where digital and social media platforms play a crucial role in promoting and inspiring SMEs. “There’s immense potential in empowering SMEs, driving innovation and growth through digital engagement,” he observes. This trend speaks to the broader digital transformation underway in Albania, emphasising the country’s commitment to embracing technology and innovation.
Looking forward, Llukaçej anticipates continued government engagement in enhancing the attractiveness for foreign investments. “There’s a marked focus on streamlining processes for investors, particularly in strategic sectors,” he notes. Digital transformation across various industries is a key trend, with companies increasingly adopting digital marketing, e-commerce, data analysis, and robotic process automation.
“Digital skills development is targeting not only the supply side, the ICT sector, but also the demand side, the different economic sectors, to tap into the opportunities of digitalisation.”
Unsurprisingly, the impact of ESG movement in Europe is profound, according to Llukaçej. “International organisations and businesses are integrating ESG standards into their development strategies,” he states. He emphasises the government’s commitment to green transition, digital transformation, and energy security as part of its broader economic strategy.
Llukaçej discusses the evolution in social corporate governance. With a global movement towards sustainable and ethical business practices, Albania is no exception. “We’re witnessing a shift towards a more competitive and resilient business environment,” he states. This trend indicates a growing demand for advisory services in corporate governance and ESG compliance, aligning Albania with international standards of business conduct.
With a smaller, more agile economy able to put digital, environmental and economic policies into practice more quickly, the IMF recently upgraded the 2023 economic growth forecast to 3.6%. A similar growth forecast for 2024, and an EU accession status that seems on track to happen at the beginning of the next decade, both suggest that the Albanian economy could deliver well on any investments.
If you are interested in doing business in Albania, please get in touch.
Biljana Sparavolo is the Head of Transfer Pricing at Kreston MDM in Serbia. With a robust career spanning over a decade, Biljana has developed extensive expertise in transfer pricing, financial audit, financial controlling, and corporate reporting. Before her current position, she worked as Financial Controller at both Adria Media and Nexe Group.
Businesses should be aware of the impact outsourcing can have on transfer pricing in Eastern Europe. In a post-COVID world, a remarkable shift is underway as 77% of European countries opt to outsource within the continent. This move aims to fortify the global value chain (GVC) and reduce over-reliance on traditional outsourcing partners like China and Russia.
The spotlight is now on Eastern Europe, prompting questions about its potential to capitalise on this emerging trend and the intricate transfer pricing challenges that lie on the horizon. We spoke to Biljana Sparavalo, head of transfer pricing at Kreston MDM in Serbia, to unravel the nuances of this evolving landscape.
From an accountant’s perspective, outsourcing to Eastern Europe presents an array of advantages. Primarily, it offers cost-effectiveness and enhanced profitability, as labour costs in these regions are notably lower than in Western countries. This enables accountants to access and onboard new team members with specialised skills and knowledge that might be scarce in-house. Flexibility and scalability also contribute to the allure of outsourcing, empowering accountants to navigate varying workloads and adapt to changing demands more efficiently.
For clients of accountants, the benefits are equally compelling. Outsourcing translates into potential cost savings, which can lead to reduced accountancy fees. Clients can still expect high service quality due to the access to skills and modern technologies offered by the outsourcing team. The direct infusion of expertise and diverse perspectives brought by outsourced teams can significantly enhance the client experience. Furthermore, outsourcing can usher in innovative practices and technologies, contributing to improved service delivery.
However, while the advantages are significant, the actual benefits of hiring a European outsourcing partner may vary based on factors such as compliance, data protection, quality control, and cultural and language diversities.
Signs of the shift: Businesses moving towards Eastern Europe
“Before businesses embark on outsourcing in Eastern Europe, they typically explore opportunities in the region”, notes Sparavalo. A noticeable increase in collaborations and partnerships between businesses and European outsourcing companies serves as a tangible sign of this shift. This can be observed through official announcements, press releases, and discussions at industry events.
An additional indicator is the active participation of business representatives in conferences, forums, and industry events hosted in Eastern Europe. This demonstrates a palpable interest in leveraging the local outsourcing options available. Expansion strategies, including the opening of offices or expanding existing ones in Eastern European countries, further underline a commitment to establishing a physical presence that facilitates outsourcing activities.
Strategically, businesses align their service offerings with the strengths and specialisations of outsourcing entities in Eastern Europe. This includes areas such as IT services, software development and customer support. Investment patterns may also shift as businesses allocate funds towards infrastructures that support remote collaboration, showcasing their readiness to work seamlessly with teams spread across regions.
Companies engaged in outsourcing exploration often conduct consultations and market research specifically focused on Eastern Europe. Proactive measures such as adapting business operations to incorporate languages commonly used in the region and an increased emphasis on social responsibility initiatives illustrate a commitment to understanding and navigating the local outsourcing landscape effectively.
For businesses in Eastern Europe, this paradigm shift represents a golden opportunity to actively participate in the global outsourcing market. The region’s strengths lie in its multilingual workforce, shared time zone, cost-effectiveness, and highly educated talent pool. Eastern Europe has become renowned for its expertise in the IT and technology sectors, making it a hotspot for outsourcing contracts in software and web development, as well as IT support.
The potential for European businesses to excel in outsourcing is not just limited to cost-effectiveness but extends to their commitment to delivering high-quality services. To fully capitalise on this opportunity, businesses should strategically develop their expertise to align with changing client needs. A strong focus on marketing and branding to showcase achievements and unique selling points becomes paramount.
Continuous learning and improvement, coupled with staying abreast of industry practices and trends, can make businesses more competitive. Establishing an industry presence through networking is also crucial. Active participation in conferences and engagement with clients and partners contribute significantly to achieving this goal.
Infrastructure also requires attention as businesses must ensure they have the technological and physical resources to deliver high-quality services. Implementing processes that demonstrate a commitment to providing services, flexibility and customisation can further enhance the appeal of the business. Building trust is of utmost importance when handling outsourcing projects involving confidential information. Developing a culture centred around client satisfaction and long-term relationships becomes a strategic approach in this context.
“While the rules for transfer pricing in Eastern Europe generally follow the standards set by the OECD, it’s crucial to recognise that specific laws can vary from country to country within the region”, says Sparavalo. A comprehensive understanding of the common aspects and essential regulations is pivotal for businesses navigating the complexities of transfer pricing laws in European countries, she notes.
Documentation requirements:
● Country-by-Country Reporting (CbCR): Multinational enterprises (MNEs) might be required to submit CbCR based on OECD guidelines.
● Local file and Master file: Companies may need to prepare documentation, including a detailed record of transaction-level transfer pricing (local file) and an overview of global business operations (master file).
Arm’s length principle
Transactions between related entities should be analysed at ‘arm’s length,’ meaning that the prices should be consistent with what would be agreed upon between unrelated companies.
Regulations typically allow for various methods to define the arm’s length price, such as Comparable Uncontrolled Price (CUP), Resale Price Method (RPM), Cost Plus Method, and Transactional Net Margin Method (TNMM).
In some countries, businesses may have the opportunity to make Advanced Pricing Agreements (APAs) with tax authorities. APAs enable taxpayers and tax authorities to agree on the methodology for determining transfer pricing, avoiding disputes in the future.
Various countries have established mechanisms for resolving transfer pricing disputes, including agreement procedures (MAP) with other nations.
Not adhering to transfer pricing regulations can lead to penalties. The severity of consequences depends on the nature of non-compliance.
Certain criteria may exist to determine which entities are obligated to adhere to documentation requirements.
It’s important to note that the development stages of transfer pricing regulations still vary in Eastern European countries, and practices differ. Therefore, conducting individual assessments in each country is advisable.
Companies operating in Eastern Europe encounter a range of transfer pricing challenges that mirror the intricacies of the business landscape and regulatory characteristics of the region. One major hurdle is the complexity and variability of regulations. Each European country having its own tax laws means that businesses must carefully align their operations with numerous jurisdictional requirements.
In terms of documentation and compliance, companies bear the responsibility of maintaining accurate records to support their transfer pricing strategies. They must navigate through reporting requirements imposed by countries, presenting an added layer of complexity. Accessing comparable data is another significant obstacle, as relevant financial information or transactions for validation purposes can be challenging to find.
Regional economic climates introduce an additional layer of complexity, as market conditions and currency fluctuations impact border transactions and the determination of transfer prices.
To successfully manage these challenges, companies should consider leveraging the expertise of transfer pricing consultants.
Investing in solutions, continuous learning, and proactive risk management tailored to their industry and the unique transfer pricing landscapes in the Eastern European jurisdictions they operate in can also be instrumental.
In conclusion, when dealing with transfer pricing in Eastern Europe, companies need to adopt a flexible mindset and thoroughly understand how local regulations and economic conditions can affect their finances. Keeping up with updates in transfer pricing rules and engaging with tax authorities are imperative steps.
The outsourcing landscape in Eastern Europe presents not just challenges, but substantial opportunities for businesses and accountants alike. Successfully taking part in this evolving trend requires strategic planning, a commitment to learning, and a proactive approach to region-specific transfer pricing challenges.
By embracing these principles, companies can navigate the changing landscape and leverage outsourcing to their advantage.
If you are interested in doing business in Serbia or the rest of Eastern Europe, please get in touch.
