Tag: Percentage of Costs

§ 1.482-3(d)(2)(ii) Appropriate gross profit.

The appropriate gross profit is computed by multiplying the controlled taxpayer’s cost of producing the transferred property by the gross profit markup, expressed as a percentage of cost, earned in comparable uncontrolled transactions ...
Cost of producing, Cost plus method, Gross margin, Gross profit margin, Gross profit markup, Percentage of Costs