On 25 January 2008, the OECD issued a public discussion draft on the transactional profit methods. The discussion draft is a result of an initiative of OECD's Working Party 6, and it is based on the experience acquired by countries applying transactional profit methods since the adoption of the Transfer Pricing Guidelines in 1995 and on comments received from the business community in response to the 2006 invitation. InFebruary, the OECD released an invitation to comment on issues in relation to profit methods and attracted many detailed responses from the public. The issues addressed in this discussion draft are as...