Mohammed Issah, Samuel Antwi, Zingteng Amatus, Haruna Abdul-Razak Borawa
Multinational corporations avoid international taxes through transfer pricing manipulation, thin capitalization, tax haven utilization, payment of intangibles, income shifting, and the financing structure of affiliate firms. Questionnaires and interviews were the main data collection instrument used to solicit information from 45 respondents comprising of 15 staff of the transfer pricing unit, 15 staff of the tax unit of tax multinationals and 15 multinationals. Descriptive statistics and logistic regression model were used to analyzed the responses. Hosmer's and Lees' Hawn Tests were adopted for the test and evaluation of the logistical regression model's fitness between several statistical methods (including pseudo R2, Deviance, Pearson fitness and information criteria). The study revealed that consideration should be given to the differences in income tax between countries, import and export duties, interest and participation of local partners, restriction on profit and repatriation of dividends, exchange rates risk, political risk for nationalization of foreign companies, and host relationship in the formulation and decision which transmission pricing policies and method to adopt.