The UK tax strategy is required to be published by UK law and applies to all Zebra UK entities and branches. Our tax strategy supports our business strategy and commercial activity. The tax strategy involves managing tax affairs in a responsible and transparent manner in order to comply with relevant legislation.
The Company complies with tax law and practice in all of the territories in which it operates. Compliance for Zebra means paying an accurate and fair amount of tax in the right place at the right time and involves disclosing all relevant facts and circumstances to the tax authorities and claiming reliefs and incentives where available.
The ultimate responsibility for Zebra’s tax strategy and compliance rest with the Group Board who ensure that the appropriate framework is in place to oversee the identification and management of tax risk.
The Chief Financial Officer (‘CFO’) is the Board member with executive responsibility for tax matters. Day-to day management of tax affairs is delegated to the Group Tax Director who has a team of appropriately qualified individuals.
The Group CFO is appraised regularly of all significant tax developments and participates in all material tax related decisions.
Tax Planning and Level of Risk
In structuring Zebra’s commercial activities, the Company will consider, among other factors, the tax laws of the countries within which it operates with a view to maximize shareholder value on a sustainable basis.
Any tax planning undertaken will be underpinned by commercial and economic substance and will have full regard to potential impact on the Company’s reputation, social responsibilities and broader goals. All transactions between group companies are conducted on an arm’s length basis in accordance with OECD guidelines and supported by appropriate documentation and studies.
Tax Risk Management
Given the scale of our business and volume of tax obligations, risks will inevitably arise from time to time in relation to the interpretation of complex UK tax law and nature of compliance arrangements. The Company proactively seeks to identify, evaluate, manage and monitor these risks to ensure it remains in line with the overall group’s risk policies and parameters. Where there is significant uncertainty or complexity in relation to a risk external advice may be sought.
Relationship with HMRC and Other Tax Authorities
The Company engages with tax authorities, including the UK’s Her Majesty’s Revenue and Customs (“HMRC”), with honesty, integrity, respect and fairness and in a spirit of collaboration and co-operative compliance. The Company is prepared to litigate where there may be a disagreement with a ruling or a decision of a tax authority but will first seek to resolve any disputed matters through proactive and transparent discussion and negotiation.
Board Ownership and Oversight
This strategy is aligned with Zebra’s global Code of Business Conduct and Core Values and is approved, owned and overseen by the Board. The Zebra Group regards this publication as complying with duty under Schedule19 of the Finance Act 2016.