Universal Journal of Accounting and Finance 10(1): 219-230, 2022 http://www.hrpub.org DOI: 10.13189/ujaf.2022.100123 Transfer Pricing Documentation: Globalization and Regional Optimization Svitlana Y. Korol 1,* , Olena I. Nykyforuk 2 , Ulyana V. Pelekh 3 , Nataliia S. Barabash 4 , Olha M. Romashko 1 1 Department of Accounting and Taxation, Faculty of Finance and Accounting, Kyiv National University of Trade and Economics, Ukraine 2 Department of Infrastructure Development of SO Institute for Economics and Forecasting, 26 Panasa Myrnogo Street, Ukraine 3 Department of Accounting and Audit, Economic Faculty, Ivan Franko National University of Lviv, Ukraine 4 Department of Economics and Business Finance, Faculty of Economics, Management and Psychology, Kyiv National University of Trade and Economics, Ukraine Received October 7, 2021; Revised November 19, 2021; Accepted December 13, 2021 Cite This Paper in the following Citation Styles (a): [1] Svitlana Y. Korol, Olena I. Nykyforuk, Ulyana V. Pelekh, Nataliia S. Barabash, Olha M. Romashko , "Transfer Pricing Documentation: Globalization and Regional Optimization," Universal Journal of Accounting and Finance, Vol. 10, No. 1, pp. 219-230, 2020. DOI: 10.13189/ujaf.2022.100123. (b): Svitlana Y. Korol, Olena I. Nykyforuk, Ulyana V. Pelekh, Nataliia S. Barabash, Olha M. Romashko (2022). Transfer Pricing Documentation: Globalization and Regional Optimization. Universal Journal of Accounting and Finance, 10(1), 219-230. DOI: 10.13189/ujaf.2022.100123. Copyright©2022 by authors, all rights reserved. Authors agree that this article remains permanently open access under the terms of the Creative Commons Attribution License 4.0 International License Abstract The study was conducted in order to assess and analyse the impact of globalization and regional optimization on the activities of economic entities that are required to prepare transfer pricing documentation. The methodological background of the study involved the following methods: generalization, explanation, grouping, induction and deduction, as well as analysis and synthesis, which were used to clarify the main scientific categories of research and substantiate the research results. Methods of schematic and graphical representation were used to visualize analytical data, formulate assumptions and substantiate the obtained results. The main focus of the study is on the analysis of the causes of global economic risks and the role of transfer pricing documentation, whose quality will help mitigate the negative consequences of undesirable events for the global economic system. The study found that not all countries apply the international instrument — Multilateral Convention to Implement Tax Treatment Related Measures to Prevent BEPS (MLI). Many countries that have started to use MLI reporting, have no uniform standardized rules for the preparation of transfer pricing documentation. The legislation only defines the list of information to be submitted by taxpayers, provided that the results of their business activities meet certain criteria. The development of a unified methodology for valuing financial assets for tax purposes and preventing their use in illegal financial transactions are the promising areas for further research. Keywords Base Erosion, Corporate Income Tax, Developing Countries, Foreign Direct Investment, Inequality, International Taxation, Profit Shifting, Tax Avoidance, Tax Havens JEL Classifications: F21, F23, H25. 1. Introduction The world economic system is in a deep crisis and, according to preliminary estimates of some researchers, the negative consequences of it are much greater than the economic collapse of 2008-2009. The contraction of the world economy in 2021 is expected to be 4.4%. Further stratification of society by income categories is projected [1]. The negative economic consequences of the COVID-19 pandemic were large-scale job cuts due to plant shutdowns and various restrictions imposed by lock-down. This has particularly affected those who did not have