Editing Transfer pricing (section)

===Commensurate with income standard===
U.S. tax law requires that the foreign transferee/user of intangible property (patents, processes, trademarks, know-how, etc.) will be deemed to pay to a controlling transferor/developer a royalty commensurate with the income derived from using the intangible property.<ref>[https://www.law.cornell.edu/uscode/text/26/367- 26 USC 367(d)] and [http://ecfr.gpoaccess.gov/cgi/t/text/text-idx?c=ecfr&rgn=div8&view=text&node=26:4.0.1.1.1.0.13.147&idno=26 26 CFR 1.367(d)-1T].</ref>  This applies whether such royalty is actually paid or not.  This requirement may result in [[withholding tax]] on deemed payments for use of intangible property in the U.S.