HMRC have announced that they are launching a radical new technical specialism, which reaches across their operational, economic analysis and policy units, to deliver a new approach to their transfer pricing enquiries.

In October 2007, HMRC had announced that they were pressing ahead with the introduction of the new approach to transfer pricing enquiries involving greater specialisation and team work, a focus on issues of higher risk, action plans for enquiries agreed where possible with companies, and active monitoring of progress.

According to HMRC, plans for resolving transfer pricing enquiries within 18 or 36 months, depending on the complexity, are largely in place. A new internal governance process will start to operate from January 2008. This will address issues around consistency of approach, allocation of resource to risk and wider departmental strategic objectives.

Further information is available at http://www.hmrc.gov.uk/large-business/new-approach.htm.