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Jordan Releases Form Templates for Local File, Master File, Transfer Pricing Disclosure, and CbC Report — Orbitax Tax News & Alerts

Jordan's Income and Sales Tax Department has released a series of form templates for transfer pricing, including:

  • Local File (word doc);
  • Master File (word doc);
  • Transfer Pricing Disclosure (excel - two sections)
  • Country-by-Country (CbC) Report (excel - three sections/tables)

As previously reported, Jordan introduced requirements for the three-tier documentation developed as part of BEPS Action 13 and the requirement to submit a transfer pricing disclosure through Regulation No. 40 of 2021, which was published on 7 June 2021 and generally applies in respect of the 2021 tax year and future years. The published form templates are in line with Executive Instructions No. (3) of 2021, which further clarified the requirements, including:

  • The local file and a master file must be submitted within 12 months after the end of the tax year; and
  • The transfer pricing disclosure must be submitted with the annual tax return.

These requirements generally apply for taxpayers with related party transactions equal to JOD 500,000 or more per year (12-month period). With regard to CbC reporting, the CbC report must be submitted within 12 months after the end of the reporting fiscal year by MNE groups exceeding a JOD 600 million consolidated revenue threshold in the previous year.