# What is transfer pricing, and why is it important for international companies? Published: 26 May 2025 Author: Treelife Source: https://treelife.in/faq/what-is-transfer-pricing-and-why-is-it-important-for-international-companies/ --- Transfer pricing is the pricing of transactions between related entities in different countries. It is crucial to comply with transfer pricing principles and regulations to avoid tax penalties and disputes. Treelife provides expertise on transfer pricing meaning, methods, and audit preparation. --- This is informational content from Treelife. For advice specific to your situation, contact support@treelife.in