How to not stress about Transfer Pricing compliance.
Many tax teams still handle their transfer pricing compliance on a project basis, mainly focusing on formal deadlines. Starting a given period before the formal deadline passes, but not always considering other active processes (closings, holidays, internal availability of local colleagues). In most cases, transfer pricing compliance is not on top of the to do list as it is not labelled as a business-critical obligation. In practice, very little formal deadlines are met due to any unexpected setback. These setbacks results in a delays. In general, the formal deadlines which directly result in penalties are highly prioritized and met in time.
At Coperitas, we experience that with respect to transfer pricing compliance a large part of the efforts are very standard and repetitive. As such, we believe that handling transfer pricing compliance should be considered as a process. Updating your transfer pricing documents once a year with minimal efforts instead of firefighting your way through to meet your transfer pricing deadlines. By embedding your transfer pricing process in automation software, you will consume less time and experience less stress. In addition, transfer pricing software solutions may bring additional advantages such as increasing your consistency, avoiding manual errors, obtaining control and ultimately save money.
Step by step approach
Take the first step towards a process supported by automation software. Gradually stop the time-consuming project based approach within 1 year while scheduling and integrating your transfer pricing process. Start scheduling based on your risk appetite and internal capabilities and follow up with a step by step integration.
We are happy to support and guide you during this journey towards a transfer pricing process utilizing automation.