Intercompany Pricing Policy Design Services
A clear, arm's-length intercompany pricing policy for your group — so related-party transactions are priced consistently, documented easily and defended confidently.
Trusted Across Diverse Business Sectors
Why does a group need a pricing policy?
A documented intercompany pricing policy sets how each related-party transaction is priced — bringing consistency, easier compliance and stronger defence.
One Consistent Basis
A single, arm's-length basis for pricing each transaction type.
- Goods and services
- Royalties and IP
- Intra-group financing
Easier Compliance
A policy that makes documentation and 3CEB straightforward each year.
- Repeatable pricing
- Clear governance
- Consistent across entities
A pricing policy turns transfer pricing from annual scramble to routine.
Without a policy, each related-party transaction is priced ad hoc, making documentation harder and consistency across years difficult.
A well-designed policy fixes the arm's-length basis for each transaction type, so compliance becomes a confirmation rather than a reconstruction.
The policy is the foundation for documentation and flows from sound TP advisory.
Policy Focus Areas
Where policy design concentrates.
Intercompany pricing policy work we handle.
Policy work can be a fresh design or a review of an existing policy.
Policy Design
Setting the arm's-length basis for each transaction type.
Governance Framework
Defining ownership, approval and review of pricing.
Implementation Support
Embedding the policy in accounting and invoicing.
Periodic Review
Updating the policy as the group and rules evolve.
Situations that call for a policy.
Growing Group
Multiple entities need consistent pricing.
New Transaction Types
Each needs a defined arm's-length basis.
Frequent TP Queries
A policy reduces annual effort and risk.
Post-Adjustment
A policy prevents recurrence of the issue.
Key elements of an effective pricing policy.
Transactions
Define every related-party transaction type in scope.
Arm's Length
Set an arm's-length pricing basis for each.
Ownership
Assign responsibility and approval for pricing.
Update
Review and update as the group and law change.
A structured policy-design process.
The policy is built to be practical and actually followed.
Map
Identify all related-party transaction types.
Design
Set the arm's-length basis for each.
Govern
Define ownership, approval and review.
Implement
Reflect the policy in systems and invoicing.
Review
Update the policy periodically.
Intercompany Pricing Policy Graphic
What we need to design the policy.
A policy only protects you if it is actually applied.
The value of a pricing policy comes from consistent application — a policy on paper that the numbers do not follow offers little protection.
Clear governance, ownership and a review cycle keep the policy live as the group changes.
Done well, a policy makes every year's documentation and 3CEB faster and more defensible.
Want a consistent, defensible intercompany pricing policy?
Discuss Pricing PolicyWhy groups choose JJJ & Company LLP for policy.
A good policy connects advisory, documentation and governance.
Practical Design
Policies built to be followed, not filed away.
Full Coverage
Every transaction type given a clear basis.
Governance Built In
Ownership, approval and review defined.
Compliance-Ready
A policy that streamlines documentation and 3CEB.
Explore related transfer pricing services.
Common pricing-policy questions.
What is an intercompany pricing policy?
Why is a policy better than ad-hoc pricing?
Does a policy replace documentation?
How is a policy kept effective?
Is a policy useful after an adjustment?
What do you need to design one?
Need to discuss your requirement?
Share a few details and our team can review your requirement and discuss the next step.