In recent years transfer pricing has become one of the most important issues for tax authorities and companies. As the area has become more complex this has lead to an increase in disputes and a need for dispute resolution procedure. Advanced Pricing Arrangement (APA) is the latest dispute resolution procedure and was introduced in Sweden in 2010. APAs determine a taxpayer’s future taxation of cross-border transaction by a taxpayer. Through co-operation the taxpayer and the tax authorities reach an APA that aims to avoid double taxation. The legislation is based on the guidance from the Organization for Economic Co-operation and Development (OECD) and it serves as a framework for many domestic legislations. Other countries with more experience from APAs have implemented additional guidance from the OECD in its legislation but the Swedish legislation has left some options outside. The Swedish APA does not allow for unilateral APAs where an agreement is concluded only with one tax authority in a cross-border transaction. In Sweden, only APAs negotiated with other tax authority are allowed. To increase legal certainty where unilateral APAs are the best or only way Sweden should implement them it its legislation. As the APA process is costly and complex small and medium companies cannot benefit from the advantages. In order for smaller companies to be able to take advantage of the APA program a simplified system should be implemented. In some countries the tax administrations also allows the APA to be applicable retrospective, referred to as roll-back. Through a roll-back taxpayers can avoid potential disputes regarding past transactions as well as the advantages from the APA for future transactions. This can be done while a taxpayer is under audit and is considered a less hostile alternative.