Covea Group UK Tax Policy Statement 2021
Introduction
This policy applies to the Covéa group of companies in the UK, which includes MMA Holdings UK plc and all its subsidiaries (“the Group”). It covers both the internal governance of tax matters and approach to tax as approved by the relevant Committees/Boards.
The primary objectives of the Group are:
- to minimise the risk of uncertainty or disputes;
- to ensure compliance with all relevant tax regulations;
- to pay all taxes due at the right time; and
- to obtain independent assurance as to the appropriate tax processes and manage these within our risk management framework.
Tax Risk Management and Governance
The tax policy operates within the Group’s established risk management framework.
The finance function undertakes the majority of tax activities for the Group. Advice from external advisors is sought where tax risks are identified, to ensure understanding of the legislation.
The Group implements risk management measures and ensures compliance through robust controls and procedures. New and existing tax risks are reported to the Chief Finance Officer of each operating company and, where appropriate, the Audit Committees and/or Boards.
The Group is within scope of the Senior Accounting Officer (“SAO”) regime. Each company has an SAO who is personally responsible for ensuring appropriate controls are in place to manage the tax affairs.
Appetite towards Tax Planning
Tax planning is only conducted in the context of achieving the commercial aims of the business with the lowest tax cost. However, the Group will not enter into any transactions where the only purpose is to reduce the tax burden of the business.
Where tax incentives and exemptions are implemented by the Government to support investment, employment and economic growth, the Group seeks to apply them in the manner intended.
Approach to Dealings with HMRC
The Group is committed to adhering to tax laws in a transparent manner. The Group takes a constructive, cooperative and open approach to all aspects of engagements with HMRC, and regards this way of working as fundamental. The Group is currently rated ‘low risk’ by HMRC. HMRC have updated their approach to risk ratings and the Group is incrementally strengthening its tax processes to satisfy HMRC’s revised criteria.