The South African Revenue Service (Sars) published a letter to external stakeholders dated 21 August 2012 tiled “Request for Information: Retroactive Transfer Pricing Adjustments”. According to the letter Sars has embarked on a Transfer Pricing and Customs initiative to establish that all legal requirements in terms of the Customs and Excise Act (“the Act”) are correctly observed by taxpayers. A risk that has been identified is the non-declaration of year-end retroactive transfer pricing adjustments between related parties. In the letter a number of questions are posed, the answers to which are due within 14 days after the receipt of the letter. The details contained in the letter appear in this week’s issue of “Duty Calls”.