Transfer pricing documentation has come a long way from clunky Word templates and last-minute data chasing. As global regulations tighten and tax authorities demand more nuanced, defensible reporting, the expectations for local files have evolved. It’s no longer just about compliance, it’s about consistency, accuracy, and speed.

The future of transfer pricing documentation lies in intelligent automation. Modern tax teams need tools that do more than automate repetitive tasks, they need solutions that elevate the entire documentation process, turning it from a manual burden into a strategic advantage.

What Does Intelligent Local File Automation Look Like?

Many transfer pricing software solutions offer basic template automation that includes standardised text blocks, dropdown selections, and some pre-filled data. However, true innovation integrates artificial intelligence across the entire local file lifecycle. This approach allows the software to:

• Generate tailored narrative content for critical sections like functional analyses, transaction descriptions, and economic characterizations.
• Analyse transactional data to identify anomalies or inconsistencies before reports are finalised.
• Cross-reference previous filings to maintain internal consistency and reduce compliance risk.
• Provide contextual guidance in real-time, flagging missing information and suggesting sample wording to improve report quality.

Rather than merely speeding up form completion, intelligent automation delivers smarter, cleaner, and more audit-ready documentation that’s quickly and reliably.

How AI is Transforming the Local File Process

1. Narrative Drafting with Minimal Manual Effort – Preparing local files often involves hours of writing to explain business activities and inter-company transactions. AI-powered tools can draft these narratives by leveraging prior-year filings, current financial data, and industry benchmarks—allowing tax professionals to focus on reviewing and refining rather than starting from scratch. This approach ensures the narrative is internally consistent, aligned with international guidelines, and professionally articulated. 
2. Integrated Benchmarking and Economic Analysis – AI-driven comparability algorithms help select the most appropriate peer companies and flag outliers in financial performance. Automated currency conversion and cross-validation reduce errors, ensuring local files precisely match country-by-country (CBCR) and master file reports.
3. Built-In Consistency and Risk Checks – AI continuously validates local file content against prior filings and transfer pricing policies, instantly flagging discrepancies or conflicting analyses. This reduces audit risk and eliminates the need for manual cross-checking across multiple documents.
4. Adaptive Templates That Learn and Improve – Over time, intelligent automation systems learn your preferred language, tone, and formatting style, offering suggestions based on historical work. Whether managing documentation for a handful of entities or hundreds, the tool adapts to your needs, providing a personalised and scalable solution.

Why This Matters to Modern Transfer Pricing Teams

Tax leaders face mounting pressure to produce compliant local files faster, with greater accuracy, and reduced external costs. Manual, template-driven workflows struggle to keep pace. Intelligent automation addresses this gap by accelerating documentation cycles, improving audit readiness, and offering greater transparency and control over global transfer pricing operations.

How Intra Pricing Solutions and TPGenie Can Help

At Intra Pricing Solutions, we understand these challenges and the opportunity they represent. That’s why we built TPGenie, an AI-powered co-pilot designed not to replace tax professionals but to empower them. TPGenie embeds AI throughout the local file process to transform how you draft, analyse, and validate your transfer pricing documentation.

With TPGenie, your team benefits from:

• Automated, tailored narrative drafting based on your prior filings and real-time data
• Intelligent benchmarking and economic analysis with contextual AI insights
• Real-time consistency checks across jurisdictions to minimise risk
• Dynamic templates that learn and adapt to your organisation’s unique style

By moving beyond static templates to an intelligent documentation platform, TPGenie helps turn local files from a compliance formality into a strategic, defensible asset—ready for today’s evolving tax landscape and tomorrow’s challenges.

Equip your team with the power of intelligent automation. Build the transfer pricing function of the future with Intra Pricing Solutions and TPGenie.