Others
Transfer Pricing Documentation
The scope of services covers the preparation of Transfer Pricing documentation for Fiscal Year 2025, comprising the Master File and Local File, in accordance with applicable Indonesian regulations. Transfer pricing is the determination of prices, margins, or fees for transactions conducted between related parties within the same group, which must be set in accordance with the arm’s length principle. The services include data review, functional and economic analysis, benchmarking, documentation, and final reporting, based on information provided by the Company.
Scope Of Service1. Preparation of Master File for FY2025The Master File is a transfer pricing documentation that provides an overview of the multinational group’s global business operations, including but not limited to: The group’s global business activities, covering products, services, and business strategies; The group structure, including key entities and their respective functions; The general categories of related-party transactions within the group; Significant intangible assets owned by the group and the entities involved in their development, enhancement, maintenance, protection, and exploitation; The group’s financing arrangements relevant to transfer pricing; and The consolidated financial statements and tax information of the parent entity.Our scope of work includes: Preparing the Master File based on data and information provided by the Company; and Delivering the Master File in Indonesian language, in both softcopy and one (1) set of hardcopy.2. Preparation of Local File for FY2025The Local File is a transfer pricing documentation prepared in accordance with local regulations and includes, among others: A description of the local entity’s business activities; Details of related-party transactions conducted with affiliated entities within the group; Financial information specific to the local entity; An economic analysis supporting the transfer pricing policies applied to related-party transactions; and Benchmarking analysis using comparison data from the BvD database.Our scope of work includes: Evaluating and documenting the Company’s business structure, financial performance, and functional profile, including functions performed, assets employed, and risks assumed; Conducting an industry analysis to assess market conditions and performance; Performing an economic analysis to test whether related-party transactions comply with the arm’s length principle; and Delivering the Local File in Indonesian language, in both softcopy and one (1) set of hardcopy.