Glossary entry

German term or phrase:

Leistungen verrechnen zu angefallenen Kosten

English translation:

To offset services supplied/carried out against costs incurred

Added to glossary by Bryn Morris (X)
Oct 6, 2011 09:57
12 yrs ago
1 viewer *
German term

Lesitungen verrechnen zu angefallenen Kosten

German to English Bus/Financial Finance (general) Transfer Pricing Documentation
Hi all,

I'm hoping someone might be able to help with this sentence please. I think I understand what it's trying to say, but I'm not sure exactly how to phrase it in English. The complete sentence is below:

XXX verrechnet ihre Leistungen soweit es sich nicht um extern zugekaufte Leistungen handelt, zu den angefallenen Kosten zuzüglich eines Gewinnaufschlages von 5%.

My understanding is that the company can only charge for costs incurred plus a 5% profit margin when providing services for associated companies. However, I just want to be completely sure that I've understood it correctly.

Any help greatly appreciated as always!
Change log

Oct 7, 2011 10:25: Bryn Morris (X) changed "Edited KOG entry" from "<a href="/profile/1397594">Bryn Morris (X)'s</a> old entry - "Lesitungen verrechnen zu angefallenen Kosten"" to ""To offset services supplied/carried out against costs incurred""

Discussion

Steffen Walter Oct 7, 2011:
@ Bryn - please correct the typo... ... in the German glossary entry: Lesitungen -> Leistungen. To do so, click on "Edit glossary entry" in the top right corner of this question page.
dkfmmuc Oct 6, 2011:
Want to agree that the ASKER´s interpretation is spot on. This principle is also implemented with a (slightly) different definition in international tax law and also in the billing process with in multinational compannies. In using this it is avoided to artificially worsen the results in a "high-tax" country and move the profits to a "low-tax" country.
Peter Warwick Oct 6, 2011:
Hi Bryn,
I would say your interpretation is spot on. To make it perfectly clear I would put: ......"providing services only for associated companies". This then would make it perfectly clear that this does not apply for external bought services.
I hope this is helpful for you.

Proposed translations

+1
1 hr
Selected

To offset services supplied/carried out against costs incurred

"XXX offsets its services, except where these have been bought in,against costs incurred and an additional 5% mark up."
Peer comment(s):

agree gangels (X)
20 mins
Thanks
Something went wrong...
4 KudoZ points awarded for this answer. Comment: "Thanks to everyone for their confirmation and suggestions. Very helpful and friendly advice as always! Best wishes, Bryn"
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