Transfer Pricing Manager
Transfer Pricing Manager is a program which enables you to automatically collect, evaluate and analyse information on related-party transactions.
With TPM software it is also possible to generate complete transfer pricing documentation at any time using data stored in the program and hence to comply with the requirement set out in art. 9a of the Corporate Income Tax Act (Journal of Laws of 200, no. 54, item 654, as amended).
TPM is an efficient tool to manage any number of transfer pricing documentation sets (files) prepared for all the parties to the transaction and relating to all periods in which the transactions that are documented were made. The program enables you to collect, import and analyse information and electronic documents in a single database.
Our software will ensure complete, consistent and uniform transfer pricing documentation prepared within a group of companies.
TPM allows to store in the database not only ready documentation sets, but also all the appendices (contracts, agreements, market data) which may affect the outcome of any tax inspections. The appendices stored in the database are attributed to specific documentation sets and may include files of any format (PDF, JPG, Microsoft Office files). This solution allows for centralised management of not only tax documentation files, but also of any underlying documents.
With a flexible user authorisation system, task assignment capability and integration with Microsoft Outlook, TPM enables users to work on transfer pricing documentation in teams.
TPM also includes pre-defined “dictionaries” for the most common types of transactions. When preparing the documentation, such dictionaries will make it possible to use the existing descriptions of functions, risks the parties are exposed to, the costs they incur and the assets they employ.
Another feature of TPM are “mirror” documentation sets (i.e. documentation for the other party to a transaction) which may be swiftly prepared for the existing documentation sets.
TPM also allows the user to automatically generate documentation for the following years using the documentation that has already been prepared for one tax year.
The software runs in Windows environment, as a local or network application. TPM also has a secure remote access feature and the application may be accessed from any location. Thus, the software performs the function of a centralised management system for the process of preparing and archiving transfer pricing documentation for all group entities.
The application interface is based on a popular and easy to use web browser. Commonly used PC hardware will be sufficient to run the program smoothly.
TPM software is protected with a HASP hardware key.
If so requested, we can also integrate Transfer Pricing Manager with our client’s finance and accounting or ERP system by designing dedicated IT solutions to:
1. import data on the value of related party transactions for a given fiscal year into TPM;
2. design a report based on the client’s accounting system database which can be used to monitor the value of individual transactions during the fiscal year and to automatically indicate the transactions for which transfer pricing documentation should be prepared;
3. the functionality referred to in point 2 is expanded by designing appropriate accounting records system components which can be used to identify types of related party transactions for the purposes of the transaction breakdown by type as required for transfer pricing documentation;
4. perform a statistical analysis of data on identified types of related party transactions. Such an analysis includes:
• a detailed and automatic identification of comparable transactions for selected transaction types;
• sampling of unrelated parties (customers or suppliers) which comparable transactions related to; such sampling is to identify the most important (in terms of value) suppliers or customers for selected groups of products or services;
• a statistical analysis of a selected sample of suppliers/customers for a given transaction type, such analysis to involve: defining the market value as a range or prices used in unrelated party transactions, analysing the basic financial ratios (gross and net sales profitability) and statistical indicators (mean, deviation, quantile estimation) at selected time intervals (daily, weekly, monthly, quarterly or yearly analysis), analysing the related party transaction price against the market value range, and thus identifying risk areas as the resulting deviation of related party transaction price from the market range;
• ready-made analysis in the form of tables and graphs to be used in the part of the transfer pricing documentation which refers to how profits were calculated and how the transaction price was determined.
With TPM software it is also possible to generate complete transfer pricing documentation at any time using data stored in the program and hence to comply with the requirement set out in art. 9a of the Corporate Income Tax Act (Journal of Laws of 200, no. 54, item 654, as amended).
TPM is an efficient tool to manage any number of transfer pricing documentation sets (files) prepared for all the parties to the transaction and relating to all periods in which the transactions that are documented were made. The program enables you to collect, import and analyse information and electronic documents in a single database.
Our software will ensure complete, consistent and uniform transfer pricing documentation prepared within a group of companies.
TPM allows to store in the database not only ready documentation sets, but also all the appendices (contracts, agreements, market data) which may affect the outcome of any tax inspections. The appendices stored in the database are attributed to specific documentation sets and may include files of any format (PDF, JPG, Microsoft Office files). This solution allows for centralised management of not only tax documentation files, but also of any underlying documents.
With a flexible user authorisation system, task assignment capability and integration with Microsoft Outlook, TPM enables users to work on transfer pricing documentation in teams.
TPM also includes pre-defined “dictionaries” for the most common types of transactions. When preparing the documentation, such dictionaries will make it possible to use the existing descriptions of functions, risks the parties are exposed to, the costs they incur and the assets they employ.
Another feature of TPM are “mirror” documentation sets (i.e. documentation for the other party to a transaction) which may be swiftly prepared for the existing documentation sets.
TPM also allows the user to automatically generate documentation for the following years using the documentation that has already been prepared for one tax year.
The software runs in Windows environment, as a local or network application. TPM also has a secure remote access feature and the application may be accessed from any location. Thus, the software performs the function of a centralised management system for the process of preparing and archiving transfer pricing documentation for all group entities.
The application interface is based on a popular and easy to use web browser. Commonly used PC hardware will be sufficient to run the program smoothly.
TPM software is protected with a HASP hardware key.
If so requested, we can also integrate Transfer Pricing Manager with our client’s finance and accounting or ERP system by designing dedicated IT solutions to:
1. import data on the value of related party transactions for a given fiscal year into TPM;
2. design a report based on the client’s accounting system database which can be used to monitor the value of individual transactions during the fiscal year and to automatically indicate the transactions for which transfer pricing documentation should be prepared;
3. the functionality referred to in point 2 is expanded by designing appropriate accounting records system components which can be used to identify types of related party transactions for the purposes of the transaction breakdown by type as required for transfer pricing documentation;
4. perform a statistical analysis of data on identified types of related party transactions. Such an analysis includes:
• a detailed and automatic identification of comparable transactions for selected transaction types;
• sampling of unrelated parties (customers or suppliers) which comparable transactions related to; such sampling is to identify the most important (in terms of value) suppliers or customers for selected groups of products or services;
• a statistical analysis of a selected sample of suppliers/customers for a given transaction type, such analysis to involve: defining the market value as a range or prices used in unrelated party transactions, analysing the basic financial ratios (gross and net sales profitability) and statistical indicators (mean, deviation, quantile estimation) at selected time intervals (daily, weekly, monthly, quarterly or yearly analysis), analysing the related party transaction price against the market value range, and thus identifying risk areas as the resulting deviation of related party transaction price from the market range;
• ready-made analysis in the form of tables and graphs to be used in the part of the transfer pricing documentation which refers to how profits were calculated and how the transaction price was determined.