Episode 118: Special Edition – Financial Transactions Transfer Pricing

No time machine needed: Getting financial transactions right the first time

David Ledure (PwC’s Global Financial Transactions TP Leader) hosts a special edition of TP Talks recorded live at PwC’s Global Transfer Pricing, Customs and International Trade, and Indirect Tax Conference in Prague. He is joined by Tanja Keser (PwC’s EMEA Financial Transaction TP leader), Bob Ritter (PwC’s US Financial Transactions TP Leader), and Alex Xiang (PwC’s APAC Financial Transaction TP Leader), to share insights gathered from clients and practitioners across 25 jurisdictions. David and his panel discuss the most pressing challenges companies face in managing intercompany financial transactions, drawing on feedback received directly from clients and colleagues during the global conference. Topics include interest rate benchmarking, debt capacity, and the practical hurdles of cash pooling arrangements. They explore evolving trends in transfer pricing policy versus transactional work, the impact of rising interest rates, particularly on audits involving cash pools, and the varying interpretations of debt across jurisdictions. The episode also highlights best practices for aligning tax and treasury functions, managing documentation burdens, and implementing governance frameworks before automating processes.

Authors: David Ledure, Tanya Keser, Bob Ritter, Alex Xiang

See also: Insights from PwC's Global TP, Customs and International Trade, and Indirect Tax Conference