This strategy applies to TAK UK Ltd and One Fleet Realty Ltd, the UK companies headed by TAKENAKA Corp in accordance with paragraph 19 of Schedule 19 to the Finance Act 2016. In this strategy, references to TAK UK Group are to these entities. The strategy has been published in accordance with paragraph 16(4) of the Schedule.
This strategy applies from the date of publication until it is superseded. References to ‘UK Taxation’ are to the taxes and duties set out in paragraph 15(1) of the Schedule which include Income Tax, Corporation Tax, PAYE, NIC, VAT, Insurance Premium Tax, and Stamp Duty Land Tax. References to ‘tax’, ‘taxes’ or ‘taxation’ are to UK taxation and to all corresponding worldwide taxes and similar duties in respect of which the Group has legal responsibilities.
TAK UK Group is committed to full compliance with all statutory obligations and full disclosure to relevant tax authorities. The group’s tax affairs are managed in a way which takes into account the group’s wider corporate reputation in line with TAK UK Group’s overall high standards of governance.
Governance in relation to UK taxation
- Ultimate responsibility for TAK UK Group’s tax strategy and compliance rests with the Board of TAK UK Group;
- The Audit & Risk Committee’s requirement to monitor the integrity of TAK UK Group’s financial reporting system, internal controls and risk management framework, expressly includes those elements relating to taxation;
- The Directors of UK Operations are the Board members with executive responsibility for tax matters;
- Day-to-day management of TAK UK Group’s tax affairs are delegated to the Accounting Manager, who reports to the Directors;
- The Finance Team is staffed with appropriately trained individuals;
- The Board ensures that TAK UK Group’s tax strategy is one of the factors considered in all investments and significant business decisions taken.
- TAK UK Group operates a system of tax risk assessment and controls as a component of the overall internal control framework applicable to the group’s financial reporting system;
- TAK UK Group seeks to reduce the level of tax risk arising from its operations as far as is reasonably practicable by ensuring that reasonable care is applied in relation to all processes which could materially affect its compliance with its tax obligations;
- Processes relating to different taxes are allocated to appropriate process owners, who carry out a review of activities and processes to identify key risks and mitigating controls in place. These key risks are monitored for business and legislative changes which may impact them and changes to processes or controls are mad when required;
- Appropriate training is carried out for staff outside the Finance Team who manage or process matters which have tax implications;
- Advice is sought from external advisers where appropriate.
Attitude towards tax planning and level of risk
TAK UK Group manages risks to ensure compliance with legal requirements in a manner which ensures payment of the right amount of tax.
When entering into commercial transactions, TAK UK Group seeks to conduct its tax affairs in line with tax legislation. TAK UK Group does not undertake tax planning unrelated to such commercial transactions.
The level of risk which TAK UK Group accepts in relation to UK taxation is consistent with its overall objective of achieving certainty in the group’s tax affairs. At all times, TAK UK Group seeks to comply fully with its regulatory and other obligations and to act in a way which upholds is reputation as a responsible corporate citizen. In relation to any specific issue or transaction, the Board is ultimately responsible for identifying the risks, including tax risks, which need to be addressed and for determining what actions should be taken to manage those risks, having regard to the materiality of the amounts and obligations in question.
Relationship with HMRC
TAK UK Group ensures that HMRC is kept aware of significant transactions and changes in the business and seeks to discuss any tax issues arising at an early stage. When submitting tax computations and returns to HMRC, TAK UK Group discloses all relevant facts and identifies any transactions or issues where it considers that there is potential for the tax treatment to be uncertain.
Any inadvertent errors in submissions made to HMRC are fully disclosed as soon as reasonably practicable after they are identified.
This strategy was published on December 31, 2018