TAX GOVERNANCE STATEMENT

Mitac Europe Ltd (the “Company”) is committed to complying with taxation regulations in a responsible manner and building and maintaining professional and constructive working relationships with tax authorities in each country in which we are established.

Management of tax risk

Tax compliance risk management of the Company is undertaken to ensure that all positions taken are consistent with the Company’s core values which include respect for all relevant facts, legislation and people.  External professional support and is sought to verify and support the Company’s conclusions based on Management’s judgement.

Strategy and Tax

The Company recognises its responsibility to pay an appropriate amount of tax in each of the key jurisdictions in which it operates, whilst maximising the tax efficiency of its business transactions.  Any tax planning is based solely on the commercial activity driving the business.  The Company conducts transactions with other Mitac Group companies as if they were between unrelated parties and in compliance with the OECD Transfer Pricing Guidelines and the laws of the relevant jurisdictions.  External advice may be sought in relation to any changes in business or structure. 

Remuneration of all staff is structured to ensure proper amounts of tax and social security contributions are paid in line with local regulations.

Level of tax risk accepted

The international nature and scope of the Group’s businesses and the volume of tax obligations mean that inevitably risks will arise.  We ensure that risks are identified and managed effectively through prompt compliance and through seeking external advice to avoid risk before making any significant changes or entering into significant new transactions.

Relationship with HMRC

Mitac Europe Ltd has a good and transparent relationship with HMRC and other tax offices with which it corresponds and is open to regulatory inspections.  In the event of any query or dispute, the company would seek to engage in open dialogue with HMRC at the earliest possible stage.  The Group supports initiatives to improve international transparency on taxation, including measures on country-by-county reporting.

Contribution to UK economy

The company is committed to make a proper and reasonable tax contribution to the UK economy through corporate income tax, Value Added Tax and all other relevant taxes and duties.

Mitac Europe Ltd regards the publication of this tax strategy as complying with the obligations under paragraph 16(2) Schedule 19, Finance Act 2016 for the year ending 31 December 2022.