Transactions between a Greenlandic subsidiary and its foreign parent company must be conducted on arm's length terms. This means that prices should be set as if the two entities were independent parties. The purpose of this is to prevent tax evasion through transfer pricing.

It is important to be aware of the specific reporting requirements designed to ensure that taxes which should rightfully be paid in Greenland are not shifted to another country. These requirements help maintain fair taxation and compliance with international tax standards, protecting Greenland's tax revenues.