At the same time, the in-house TP advisor role would often be mainly focused on technical TP work. You need to be ready that there would be much more people management and client work at this level. In Big4, managers talk with clients and usually run functional interviews. The manager checks the TP specialist's work, makes suggestions and approves it for further use. Managers and advisors (in-house) - usually the leads of TP projects.In addition, they prepare the draft documentation and memos for the manager's review and train their junior level colleagues. They will usually do a more advanced TP analysis and reports. Senior consultants/senior specialists - the workhorses of transfer pricing.Interns and juniors usually do benchmarking studies, draft basic documentation, and do some simple financial and market analysis. They typically help the team with the basic work and learn the ropes. This is the lowest position level where TP specialists work at the start of their careers. Interns/junior consultants/junior specialists - the entry-level.The answer to this question really depends on the organization you work for (I will discuss them later on), but let me try to explain in general terms. TP specialists usually help finance to decide if the adjustment is needed and what would be its size. Due to business circumstances, the company often realizes that some of the prices are falling from the arm's length market ranges and needs to adjust them at the end of the year (or, sometimes, during the year). And obviously, there is a lot of work to be done to arrive at this price.ģ) Then, there is a monitoring process - does the business follow the transfer pricing policies, and are the prices within the determined ranges? The role of TP experts here can vary significantly - in some companies, they are responsible and accountable for it in others, it's mainly a finance team job (and TP specialists just provide the advice).Ĥ) The next one - adjustments. TP specialists would usually be responsible for suggesting the correct price or margin for the transaction. At this stage, the company decides a general approach to transfer pricing, including how much risk the company wants to take and what type of models it will apply, and TP experts usually drive these discussions.Ģ) At the next stage, the company establishes price-setting process - this means determining and applying transfer prices in actual transactions. 1) Establishing transfer pricing strategy and policies.
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