UK Tax Strategy

Tax Strategy

The focus of the UK Group’s tax strategy is to ensure that it remains compliant with the relevant and applicable tax laws in each jurisdiction in which it operates. The submission of tax filings and remittance of tax liabilities on a timely basis forms a key part of this strategy.

Tax strategy of the UK group is aligned with that of the ultimate parent company of the group.  

Further details relating to the tax strategy are provided below.

Risk Management

The UK Group proactively identifies and manages its tax risks and monitors changes in tax law and practice. The tax department actively seeks to identify, evaluate, manage and monitor these risks to maintain compliance, minimize financial penalties and protect the business reputation of the UK group. The tax department employs qualified and trained professionals to identify uncertainties and ensure risks are fully assessed.  The tax department also seeks the guidance of external advisors where appropriate.  The external advisors have tax teams in many jurisdictions that are accessible to our internal tax department.  The department has the ability to collaborate with them to help reduce global tax risks of the UK group arising from its operations, as far as is reasonably practicable, by ensuring that due care is taken in relation to processes that affect its compliance with tax obligations.  

Attitude of Tax Planning

The attitude of tax planning is to ensure that the UK group complies efficiently with legal requirements.  It accepts responsibility to pay the applicable tax in all jurisdictions while maintaining a consistent and efficient global structure. The company does not undertake aggressive tax planning or tolerate tax evasion.  Tax evasion is the deliberate attempt not to pay tax which is due.  The UK group and the company as a whole, will not enter into any contrived arrangements for the facilitation of tax evasion.  For this purpose, the tax department is involved in key transactions.  The tax department works closely with external advisors where appropriate in relation to complex and/or specialist areas of tax where additional expertise and clarification is required.

Level of Acceptable Tax Risk

The UK Group does not have a prescribed level of acceptable tax risk. The tax department seeks to manage and eliminate tax risk through our internal tax governance processes and through discussion and/or clearances with HMRC (if applicable). Our internal tax governance process ensures the tax department is involved in key transactions, issues and/or strategies.  The involvement of the tax team will allow the engagement with other relevant departments within the organization such as Finance or Legal.  Further conversations may take place with the leaders of those departments such as the CFO or Chief Legal Counsel.  Overall, any strategy the UK group enters into, the objective is to comply fully with UK tax laws.

Relationship with HMRC

The UK Group engages with HMRC with honesty, integrity and respect.  It does so by timely filing tax returns with full disclosure and providing information that may be requested by HMRC.  In the event of any inadvertent errors in submissions made to HMRC or misinterpretation of relevant legislation, appropriate disclosures will be made as soon as possible after they are identified. The UK Group will seek to resolve any disputed matters through pro-active and transparent discussion and negotiation.