Tools & technology
Local File Automation
Local file automation refers to software functionality that generates jurisdiction-specific transfer pricing local files from centrally stored group data, financial figures and narrative templates. Instead of manually drafting each country's report, tax teams maintain core content once and the system produces multiple local
Automation typically works by combining a master content library, covering functional analysis, intercompany agreements and group structure, with entity-specific financial data pulled from accounting systems. Templates are configured to reflect the format and language requirements of each jurisdiction, reducing the manual
Because local files must stay consistent with master files and benchmarking results, automation tools often cross-check figures against those sources before finalising output. This reduces the risk of inconsistent numbers appearing across different documents submitted to different tax authorities within the same reporting cycle.
In practice
What matters when applying local file automation
- Generates local files from central content library
- Pulls entity financial data automatically
- Applies jurisdiction-specific formatting rules
- Cross-checks figures against master file data
- Reduces manual reformatting each reporting cycle
Frequently asked
Common questions
How much manual work remains after local file automation?+
Tax reviewers still need to check generated drafts for accuracy, add jurisdiction-specific commentary where required, and confirm local disclosure requirements are met, but automation removes most of the repetitive drafting and formatting work.
Can local file automation handle different language requirements?+
Many platforms support multilingual templates, allowing the same underlying data and narrative to be presented in the language required by each jurisdiction, though translation quality typically still requires review by local reviewers.
See how the tooling handles this in practice
Our transfer pricing tools calculate intercompany charges, benchmark financing and reconcile the intercompany ledger from your own data. Book a short walkthrough and we will show the workflow on a scenario that matches your group structure, rather than a generic demo dataset.