This budget cap stuff shows that F1 is ignorant of transfer pricing. How are they going to react when a team submits the following?:
Cost of engines: €1. [from Engine Co. Ltd.]
Cost of gearboxes: €1 [from Gearbox Co. Ltd]
Cost of aero package: €1 [from Aero Co. Ltd]
Cost of chassis materials: €1 [from Materials Co. Ltd].
They can't say ".....these suppliers are really part of your team...." if the Company Registration Office and Tax Authorities say they are independent legal entities.
My guess is that this is just a PR stunt so F1 can say it's tackled costs.
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