All material subject to strictly enforced copyright laws. © 2022 ITR is part of the Euromoney Institutional Investor PLC group.

Merck Group’s Frank Schoeneborn discusses patent box controversy, negative press and issues of confidentiality

Frank Schoeneborn, head of operational transfer pricing at Merck Group, discusses the power of public opinion and the impact it is having on transfer pricing in an interview with TPWeek.

Schoeneborn has expressed his views on some of the most topical transfer pricing issues, including the arm’s-length versus profit split debate, BEPS progress, issues over confidentiality and the increasingly negative press coverage that transfer pricing is receiving.

“These days, press drives the public opinion more than ever. Even small matters might turn into big scandals very soon,” said Schoeneborn.

The interview provides an insight into the brewing controversy behind patent boxes and the growing emphasis being placed on people functions.

“Listening to the phrase patent boxes creates no sympathy. What should an individual think? These structures were invented for saving taxes,” said Schoeneborn.

Schoeneborn also shares his views on what transfer pricing methodology could look like in a decade, providing predictions on the future of the profit split.

The full interview is available on TPWeek.

Register for a free trial on TPWeek to read Frank Schoeneborn’s comments in full.

more across site & bottom lb ros

More from across our site

The companies have criticised proposals for the gig economy, while the UK and EU VAT gaps have fallen in percentage terms, and ITR speaks to a European Commission adviser about its VAT reforms.
Corporations risk creating administrative obstacles if the pillar two rule is implemented too soon, sources say.
Important dates for the Women in Business Law Awards 2023
The Italian government published plans to levy capital gains tax on cryptocurrency transactions, while Brazil and the UK signed a new tax treaty.
Multinational companies fear the scrutiny of aggressive tax audits may be overstepping the mark on transfer pricing methodology.
Standardisation and outsourcing are two possible solutions amid increasing regulations and scrutiny on transfer pricing, say sources.
Inaugural awards announces winners
The UN’s decision to seek a leadership role in global tax policy could be a crucial turning point but won’t be the end of the OECD, say tax experts.
The UN may be set to assume a global role in tax policy that would rival the OECD, while automakers lobby the US to change its tax rules on Chinese materials.
Companies including Valentino and EveryMatrix say the early adoption of EU public CbCR rules could boost transparency of local and foreign MNEs, despite the short notice.