The best way to establish an intercompany agreement is to take a multidisciplinary approach. Tax and financial experts prepare transfer pricing documentation, but may not have the skills to prepare legal documents. Similarly, lawyers are generally ignorant of transfer pricing rules. It is therefore important that the right people and skills are on board. In some jurisdictions, year-end adjustments are only allowed if they are made on the basis of a legally binding intercompany agreement in force at the beginning of each year. In order to minimize the challenges of global tax authorities, the ONESOURCE Transfer SOFTWARE helps You to effectively centralize and manage intercompanyation agreements so that they can be properly generated, updated and analyzed. Optimize the design and execution of transfer pricing agreements by a central repository with contract management and electronic signature functions. Although a transaction with parties and related parties often does not have a direct market analysis, the possibility of describing the terms of a transaction with parties and related parties in the familiar form of an agreement supports the idea that the transaction with related parties and parties is not manifestly inappropriate. It is important that these clauses generally do not compensate a party for its non-performance if its own conduct prevented it from performing the contract or if the contract has simply become unprofitable (or loss-making). Intercompany agreements play a crucial role in demonstrating and defending group transfer pricing policy. We discuss the role of intercompany agreements, which typically formalize transfer pricing agreements in a binding and legally enforceable contract. Import existing intercompany agreements and generate default templates that can be customized for each global transaction in any jurisdiction.

Avoid repeated data entry and use built-in logic to speed up the design process…