Dormole Ltd Group of companies
TAX STRATEGY for the YEAR ENDING 31 DECEMBER 2018
1.1 This document, which has been approved by the Board of Dormole Ltd, sets out the Toolbank group’s policy and approach to conducting its tax affairs and for dealing with tax risk for the year ending 31 December 2018.
1.2 The company regards publication of this document as complying with its obligations under paragraph 16(2) of Schedule 19 to the Finance Act 2016.
2.0 Our approach to the management of tax risks
2.1 Managing the group’s financial and accounting affairs is a complex process and, as such, there are inevitably risks of error or omission with regard to tax (“tax risks”). These fall into two broad categories. The first concerns the interpretation of tax law and its application to the group’s financial and accounting transactions. The second concerns the compliance obligations of the group in calculating, returning and paying tax by the relevant due dates.
2.2 On the former point the group acknowledges its responsibility for paying all amounts of tax that are legally due. There will, however, be circumstances in which this may not be clearly defined and where different approaches or interpretations may result in different outcomes. The group will, in the first instance, use the best judgement of the responsible directors and employees concerned and, if necessary, will seek appropriate professional advice to resolve areas of uncertainty.
2.3 On the latter point, the group acknowledges its statutory obligations to maintain adequate accounting records and is committed to work with its professional advisors to ensure that its compliance obligations are met on a timely basis.
3.0 Our attitude towards tax planning
3.1 The reputation of the group is paramount and due consideration will always be given to its corporate and social responsibilities. With this in mind, we will only undertake transactions that we are prepared to fully disclose and which are based on a strong underlying commercial motivation.
3.2 The group’s tax planning aims are to support the commercial needs of its business by ensuring that its affairs are ordered and carried out in the most tax-efficient manner possible whilst remaining compliant with all relevant laws.
3.3 We will not enter into artificial arrangements in order to avoid or reduce a tax liability that is properly due. In particular, we will not enter into any tax planning, transactions or structures that are notifiable to tax authorities under mandatory disclosure schemes.
4.0 Acceptable risk
4.1 The group acknowledges that eliminating risks entirely is impossible and it therefore adopts a level of control over its financial and accounting transactions to reduce these risks to as low a level as is practicable. In doing so, the group relies on the judgement and experience of the responsible directors and employees to assess the likelihood of occurrence and scale of impact of each risk.
4.2 The group does not set arbitrary levels of risk in relation to tax that it is willing to accept, but rather deals with identified tax risk on a case-by-case basis.
5.0 Our approach in our dealings with HMRC
5.1 The group is committed to the principles of openness and transparency in its approach to dealing with HMRC. This includes making accurate and timely disclosures in correspondence and returns and dealing with requests for information or explanations from HMRC as quickly as possible.
5.2 We will seek to promptly resolve any issues with HMRC by agreement in a collaborative, courteous and timely manner
This tax strategy will be periodically reviewed by the responsible directors and employees and any amendments will be approved by the Board of Dormole Ltd
Confirmed on behalf of the Board of Dormole Ltd on 30th June 2018
A.J.T. Strong (Director)