TAX COMPLIANCE POLICY

Size: px

Start display at page:

Download "TAX COMPLIANCE POLICY"

Corey Griffith
5 years ago
Views:

1 This document is to be used for INTERNAL and EXTERNAL purposes TAX COMPLIANCE POLICY This document (the Petroplan Tax Compliance Policy) summarises the processes that the Board of Petroplan Holdings Limited has put in place to identify and mitigate the risk that its employees, agents, and/or service providers criminally facilitate the evasion of tax by others. It also explains, for the benefit of recruiters, candidates, contractors and end clients the rationale behind the request for additional information from candidates or contractors, which forms a key part of Petroplan s internal tax evasion risk assessment. The Petroplan Tax Compliance Policy is a direct result of the legislative regime introduced into UK law by The Criminal Finance Act 2017 which makes it a corporate offence for a person acting in the capacity of an employee, agent or other persons providing services for or on behalf of Petroplan to criminally facilitate the evasion of tax (whether in the UK or overseas). Prosecution under The Criminal Finance Act 2017 risks Petroplan being exposed to a potentially unlimited fine, as well as near certain professional and reputational damage. The Board of Petroplan Holdings Ltd takes its responsibility for preventing the facilitation of tax evasion (both in the UK and overseas) extremely seriously and will not condone the activities of any employee, agent or person acting on its behalf, or otherwise providing services to or for the benefit of the Petroplan group, which facilitate the evasion of tax by others. Employees/Recruiters should refer to page 2. Please be aware that the Petroplan Tax Compliance Policy represents an overarching framework for you to operate under when acting on behalf of Petroplan. It highlights the potential areas of risk the Petroplan business may face in respect of the new corporate offences of facilitating tax evasion, in order that you can better understand what Petroplan expects from you in respect of The Criminal Finance Act The Petroplan Tax Compliance Policy forms part of your training on the criminal facilitation of tax evasion offences which shall be delivered on an ongoing basis. Should you have any questions on the Petroplan Policy, please contact the Compliance team by on Compliance@Petroplan.com where necessary before engaging with candidates or contractors on Petroplan s behalf. Candidates and contractors should refer to page 4. Please be aware that Petroplan requires from all candidates and contractors (whether engaged by Petroplan previously or not) the due diligence information requested for the purposes of its internal tax risk assessment. Please note that you must complete, sign and return the Qualification and Onboarding document to your relevant point of contact at Petroplan in order for Petroplan to confirm you as available to a client. It is important to understand that Petroplan is not a branch of a tax authority and nor is Petroplan in a position to draw conclusions on the validity or otherwise from a tax perspective of any arrangements you present. 1 This policy has been designed and is relevant to all Petroplan employees, agents, service providers, candidates, contracts and clients, and is a key part of Petroplan s internal tax evasion risk assessment 1

2 If having read the Petroplan Tax Compliance Policy, you remain in any doubt about the information required by the Qualification and Onboarding document, please feel free to contact the Petroplan Compliance Team by to your relevant point of contact at Petroplan before confirming that you have read, understood and accept the Petroplan Tax Compliance Policy and verified that the personal information you have provided in response to the Qualification and Onboarding document is true, accurate and complete in all respects. The Petroplan Tax Compliance Policy remains a live document which will be adapted and amended following review by the Board. An up to date copy will always be available from your Petroplan representative. 2

3 EMPLOYEES/RECRUITERS Petroplan Tax Compliance Procedures The Board of Petroplan Holdings Limited has determined that the following processes and procedures must (where relevant to the role) be adhered to in identifying and mitigating the risk of the corporate facilitation of tax evasion offences: Training Recruiter Risk Assessment Process - Steps to Follow during Candidate Qualification Process Reporting Procedures Ongoing monitoring Disciplinary Contractual terms Regular training will be rolled out to all employees including recruiters on The Criminal Finance Act 2017 twice a year, in January and October, and as part of any new employee onboarding procedure highlighting what your obligations under it are, what processes Petroplan has in place to assist you and expects you to adhere to in relation to it. There will also be training involving case studies/worked examples on the tax evasion warning signs to look out for from candidates or contractors engaging personally or through umbrella companies. In addition, please familarise yourself with the document entitled Criminal Finance Act 2017 Its application to Petroplan and warnings signs to look out for available on the Petroplan shared drive. The Recruiter will: 1. Submit the relevant Qualification and Onboarding document to the candidate or contractor with the Petroplan Tax Compliance Policy at the earliest point possible during the qualification/recruitment process. 2. Evaluate the responses submitted by the candidate or contractor using the Balanced Score Card Risk Assessment, in line with the relevant Qualification and Onboarding document and the training received from Petroplan. (If the Score is 20 or above, concerns will be escalated to the Compliance Team to ascertain whether the structure proposed by the candidate or contractor is acceptable. Wherever possible, recruiters will receive a response within 2 hours. 3. Ensure that a signed copy of the relevant Qualification and Onboarding document is returned as part of the qualification process. The candidate or contractor will only be onboarded following receipt by Petroplan of the completed document, and in the absence of that document, no contract will be issued and Finance do not have authority to release associated funds. The Petroplan Tax Compliance Flowchart will be available on the Petroplan share drive confirming what recruiters will need to do if they suspect tax evasion. The Petroplan Tax Compliance Flowchart confirms the processes for escalating matters internally where there is a need to do so. Where there is any doubt, or any concerns with respect to tax evasion, it is imperative that the Recruiter contacts the Compliance Team immediately. All documentation will be added to the Petroplan CRM and there will be regular spot checks carried out by the Compliance Team in order to verify ongoing adherence to the Petroplan Tax Compliance Policy. Failure to comply may result in disciplinary proceedings being invoked. In recognition of how seriously the Board of Petroplan Holding Limited takes its responsibilities, a zero-tolerance policy operates towards facilitating tax evasion - any employee or agent involved in the criminal facilitation of tax evasion will be summarily dismissed and any dealings with a service provider in similar circumstances will be brought to an end. Petroplan does not envisage making changes to its standard terms and conditions at this stage, believing its contractual provisions to be sufficiently robust in dealing with the prevention of tax evasion. However, this position will be kept under review. 3

4 CANDIDATES AND CONTRACTORS Additional information required to aid in the completion of the Qualification and Onboarding document Petroplan s Tax Compliance Policy operates a due diligence policy that requires a candidate or contractor (whether recruited or nominated), to submit the following information, which varies dependent upon how a candidate or contractor is engaged. Petroplan requires this information from all candidates and contractors as part of the qualification process and before each new assignment commences, and strictly for the purposes of its internal tax risk assessment process only. The information required from a candidate or contractor operating directly in their own name and working outside of the UK or EU is as follows: Country of tax residence Current tax or social security ID number in county of tax residence Confirmation tax filings in country of tax residence are accurate and up-to-date Name and location of bank account Petroplan seeks confirmation that tax on the amounts a candidate or contractor is entitled to for the provision of services, is being accounted for correctly to the relevant tax authority. Where a candidate or contractor considers themselves not to be resident in any one jurisdiction, they should confirm what professional advice on tax residency has been received. This is basic information required to evidence tax residency. A candidate or contractor s personal tax filings are (usually) a self-assessment matter. Petroplan requires confirmation from the candidate or contractor that they are up-to-date with personal tax filings in the jurisdiction in which they are tax resident, as Petroplan has no means of verifying individual tax compliance. The relevant bank account must be in the name of the individual named on the contract between Petroplan and the candidate or contractor. Should a candidate or contractor s bank account be in a jurisdiction other than that in which they are resident for tax purposes, or outside the jurisdiction of the assignment, he/she has the opportunity to confirm why the bank account is located in the relevant jurisdiction. Petroplan s concern is to ensure that payments are not made into bank accounts in order to evade tax. NOTE: ALL UK/EU TAX RESIDENTS WORKING IN THE UK/EU MUST CONTRACT THROUGH A PERSONAL LIMITED COMPANY OR AN UMBRELLA COMPANY OFFERING A SUITABLY COMPLIANT SOLUTION 4

5 The information required from a candidate or contractor operating indirectly through a personal limited company is as follows: Country of company tax residence Company tax ID number Confirmation that company tax filings are accurate and up-to-date in country of tax residence Name and location of bank account A company is primarily liable for tax in the country in which it is resident for tax purposes. Company tax residence should be confirmed by the candidate or contractor, as it is generally a factual question (who makes company decisions and where from) rather than legal question. The basic information required to provide comfort that a company meets its tax obligations. Petroplan has no means to verify company tax compliance (in the UK or abroad), hence it requires confirmation from the candidate or contractor. The relevant bank account must be in the name of the company named on the contract between Petroplan and the candidate or contractor. Should a company bank account be in a jurisdiction other than that in which the company is resident for tax purposes, there is an opportunity to confirm why the bank account is not in the company s name or located abroad. Petroplan s concern is to ensure that payments are not made into bank accounts in order to evade tax. The information required from a candidate or contractor engaged with and operating through an umbrella company is as follows: Umbrella company name and VAT number (if applicable) Name and location of bank account Confirmation of the country the umbrella company accounts for the candidate s or contractor s personal tax in. The VAT number, for UK companies, provides comfort that the umbrella company is within the UK tax system. The relevant bank account must be in the name of the umbrella company named on the contract between Petroplan and the candidate or contractor. Should a company bank account be other than in the umbrella company s name, or in a different jurisdiction, there is an opportunity to confirm why. Petroplan s concern is to ensure that payments are not made into bank accounts in order to evade tax. This information assists in evidencing that the underlying candidate or contractor is meeting their tax obligations. Please note that candidates or contractors who are in the process of incorporating a personal limited company, or contracting with an umbrella company, must still sign and return the declaration in the Qualification and Onboarding document before returning it to Petroplan. In doing so, the candidate or contractor confirms that they will supply the information requested to Petroplan once available as part of the general onboarding process. Please be aware that in certain cases Petroplan the Compliance Team may require additional information from a candidate or contractor in order to proceed with the assignment. 5

LRS Anti-Tax Evasion Policy

November 2017 LRS Anti-Tax Evasion Policy 1. What is the purpose of this policy? It is the policy of Lucozade Ribena Suntory ("LRS") to conduct all of our business in an honest and ethical manner. We take