Tax Strategy Document – period ended 30 June 2020
This document sets out the Tax Strategy of Triton HoldCo Limited and its subsidiaries (“Synamedia” or the “business”) as at 30 June 2020 as it applies to taxes and in particular UK taxes. Synamedia considers that this document fulfils the duty to publish a tax strategy under paragraph 19(2) of Schedule 19 of the Finance Act 2016 in the current financial year.
Synamedia is ultimately majority owned by funds advised by the Private Equity firm Permira (“Permira”) which acquired a controlling stake in the business from Cisco Systems Inc. on 28 October 2018. Permira has structured its investment in the business through Permira VI Investment Platform Limited, a holding company that has investments in businesses across a number of different activities and geographies, including the UK. Whilst this tax strategy document applies to Synamedia, it is aligned with the principles set out in the tax strategy document published by its parent company, Permira VI Investment Platform Limited.
Our approach to UK tax risk management and governance
Our Board of Directors owns our tax strategy, with delegated authority given to our Group Tax Director. Ultimately our Board and our Chief Financial Officer are responsible for making operational decisions in relation to tax. Our Tax Director is responsible for managing the ongoing tax governance of the business.
We comply with tax law and practice in all of the territories in which we operate, including the UK. Given the nature of our business, risks will inevitably arise from time to time in relation to the interpretation of tax law and nature of our compliance arrangements. Synamedia’s appetite for tax risk and tax planning is considered to be low and reflects the legal and commercial environments in which the business operates. Compliance for us means paying the right amount of tax in the right place at the right time and involves disclosing all relevant facts and circumstances to the tax authorities when responding to audits and enquiries, and claiming reliefs and incentives where available.
In evaluating any transaction or activity, Synamedia takes into account all relevant factors including taxation. Where there is significant uncertainty or complexity in relation to a risk, external advice may be sought.
Our attitude to UK tax planning
While we will run our business in a cost effective manner in line with our obligations to our shareholders, in terms of tax, we will only utilise legitimate tax reliefs for the purposes for which they were intended. We do not:
- engage in aggressive tax planning;
- seek to structure transactions in an artificial manner whereby results are inconsistent with the underlying economic consequences; or
- promote tax avoidance or condone abusive tax practices which would contravene our ethics and culture or the law.
We will seek external tax advice in certain situations, for example:
- in respect of large, one off transactions such as business acquisitions or disposals, to ensure that we do not suffer any unforeseen or unreasonable tax outcomes;
- in areas where we may have insufficient internal expertise; and
- as a second opinion in cases where we believe there is uncertainty with respect to the application of tax law, although we may also approach HMRC directly, to seek clarity or obtain clearance.
Our approach to working with HMRC
We seek to maintain an open and honest relationship with tax authorities. In the UK, we are in regular contact with Synamedia’s Customer Compliance Manager and proactively seek clarification with respect to any areas of uncertainty. In addition, we will engage in an annual risk review meeting with HMRC and keep our Customer Compliance Manager informed of any significant business developments that may impact the UK Group’s tax profile.