Event by ALPE consulting on the topic of «Transfer Pricing in SAP ERP»
On the 29th of January 2015 ALPE consulting held the Business Breakfast on the topic of «Transfer pricing in SAP ERP».
It is a hot topic for many companies now. Before the 1st of January 2012 tax payers had not been obliged to send notifications on effected related-party transactions (transactions between interdependent entities). According to the new rules, tax payers became obliged to report to the tax authorities on related-party transactions which were closed with the same entity in 2012, if such transactions exceeded 100 mln. rubles annually. In 2013 the threshold amount was reduced to 80 mln. Rubles and since January 1, 2014 the threshold amount has been cancelled and all taxpayers are now obliged to report on all the transactions with the interdependent entities. The deadline for reporting is not later than the 20th of May of the year following the posting period.
Besides, since 2015 a fine in the amount of 20% of unpaid taxes for transactions for the prior period is imposed on taxpayers which have not applied market prices. The size of the fine is expected to increase considerably going forward.
At the business breakfast, ALPE consulting presented the standard SAP solution on Transfer Pricing. The solution simplifies remarkably the process of preparing notifications on the related-party transactions because in SAP these are created automatically.
The event was opened with a speech of welcome by Dmitry Vishnevetsky, Head of New Business Solutions Department, ALPE consulting, which was followed by the presentation of Ekaterina Osorina, LOB Finance business development manager, SAP CIS. In her presentation Ekaterina spoke about SAP solutions on Transfer Pricing management, about the development in the future, and also about the new technology Simple Finance for the financial accounting.
The main part of the event was dedicated to the presentation on the topic of «Preparation of notifications on related-party transactions in SAP ERP», which was held by Elena Fedotova, SAP FI consulting, ALPE consulting. Elena presented the standard SAP solution for the preparation of notifications on related-party transactions in SAP ERP, and also spoke about the concept of the solution and its implementation methodology. Besides, Elena demonstrated the practical case of the preparation of the notification in SAP system.
After the presentation, there was a Q and A session and an open discussion. The participants of the event asked questions, exchanged opinions, spoke about their present tasks and problems in Transfer Pricing and their current projects.
The event was attended by Finance Directors, Chief Accountants and IT experts of both Russian and international production and trading companies.