206 ACCOUNTING FOR MANAGERS
concerned with how to shift profits between countries so as to minimize income
taxes on profits and maximize after-tax profits to increase shareholder value. While
this is undoubtedly in the interests of individual companies and does need the
approval of taxation authorities, it still raises issues of the ethics of transfer pricing
when multinationals minimize their profits and taxation in relatively high-tax
countries such as the UK.
References............................................
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