Use of Non-Arm’s Length Approaches within the Arm’s Length Principle: Heading towards a New Standard?

Traditionally, the arm’s length principle relies on three pillars: the separate entity principle, the relevance of contractual arrangements and the comparability of the transaction. The purpose of this article is to show that, with the BEPS program and Pillars One and Two, new pillars have emerged in the form of allocation keys and safe harbours.