Tax Strategy – September 2019
Hako Machines Ltd is a wholly owned subsidiary of the Possehl-Group which sells and distributes cleaning machines and parts throughout the United Kingdom.
The company was established in 1979 and currently has 65 employees.
Hako Machines Ltd turnover was £14.2m FY 2018 and is forecast to be £14.2m FY 2019.
Hako Machines Ltd understands and accepts its obligations with regard to tax.
The primary objective from this perspective is to ensure we are compliant with all tax legislation and the requirements published therein. Included in this will be to ensure all applicable returns are made on a timely and accurate basis, but at the same time ensuring, where applicable, any tax paid has been assessed for any concessions or reliefs which are allowed under the relevant legislation. With this in mind, we do not seek to take an aggressive stance in interpretation of tax legislation, and the policy is to operate within both the spirit and the letter of the law. We do not use any artificial tax avoidance schemes, tax havens, or management incentive programs linked to any aspect of tax mitigation or determining an effective tax rate.
Hako Machines Ltd understands the need for good co-operation and a strong working relationship with HMRC and other relevant government departments, and seeks to have open and honest communication in this respect. As and when required, we comply with any request for additional information to support returns made, and liaise with the relevant HMRC department on tax matters as and when the need arises.
Taxation is a complex subject, and Hako Machines Ltd does not employ specifically trained personnel in respect of tax. Therefore in order to ensure compliance, external support from tax advisers will be engaged to assist in the review and completion of specific aspects of tax, however the overall responsibility for tax policy and reporting lies with the Finance Controller.
As a member of a large European Multi-National Enterprise, Hako Machines Ltd also adheres to the OECD CbCR framework, submitting relevant information for publication to the tax authority in the country where the group holding company is based. Alongside this, any transactions which occur between members of the same group respect the arm’s length principle with regard to pricing.