Transfer Pricing

How to Book IC Business Continuity Fees

Recording the allocation of costs for maintaining group-wide disaster recovery and business continuity systems.

Account NameTypeDebit ($)Credit ($)
IC Continuity Service ExpenseDebit4,200.00-
IC Accounts PayableCredit-4,200.00

💡 Accountant's Note

Charges for the readiness of backup servers, emergency office space, and disaster recovery planning managed by a central entity for its subsidiaries.

Practitioner & Systems Framework

💻 ERP Architecture

Map to administrative overhead or IT service cost categories.

⚠️ Audit Flags

Duplicate charges where local entities already pay for local backup services.

📄 Required Documentation

Business Continuity Plan (BCP) and cost allocation keys for shared infrastructure.

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Expert Analysis by Qusai Ahmad

General Accountant Supervisor & IFRS Specialist

Specialized in SAP GUI automation and Middle Eastern tax compliance. Building digital tools for the next generation of finance leaders.

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