This tax strategy was approved by the Board of Directors on 23 March 2023 and will be reviewed on an annual basis or as required. The strategy applies to the Group and the year ended 31 March 2023. The tax strategy has been prepared in compliance with the duty under paragraph 16(2) of Schedule 19 as per the requirement by paragraph 17(4) of the Finance Act 2016. It covers all UK taxes and duties as set out in paragraph 15 (1), Schedule 19, Finance Act 2016.
IG Design Group plc, its subsidiaries and all entities over which it has effective control, together referred to as “the Group”, is one of the world’s leading designers, innovators and manufacturers of Gift Packaging, Celebrations, Craft & Creative Play, Stationery, Gifting and related product categories. The Group’s principal operations are in the United Kingdom, the United States of America, Europe, Asia and Australia.
1 – Risk management, governance and compliance
The Group is committed to complying with taxation regulations in all jurisdictions in which it operates, and to pay the appropriate amount of tax, in the right jurisdiction, at the right time, in accordance with the letter and spirit of the law. The Group has a low appetite for tax risk.
The governance of the business in relation to tax is led by the Board of Directors, overseen by the Audit Committee, supported by the Group Chief Financial Officer with the aim of ensuring that the Group meets its business and financial obligations.
The Finance Directors (or equivalent) in the individual business units are responsible for dealing with taxation matters in their own jurisdictions and utilise professional advisers where the local teams require support. The business units confirm compliance with local tax legislation and highlight any risks to the Group Finance team at a regular cadence. This process is utilised by the Group to evaluate potential tax risk indicators that could affect their low-risk appetite. The Audit Committee are notified of key tax matters.
Where tax matters impact the Group as a whole, the facilitation and compliance of those matters, is led by the Group Chief Financial Officer, with the support from the Group Finance team. Professional advisers are used, where it is deemed necessary, for complex or non-routine tax matters.
2 – Attitude towards tax planning
Design Group seeks to comply with taxation laws in the jurisdictions in which it operates, and manages its affairs to minimise the risk of non-compliance. The Group does not undertake artificial tax planning which has no commercial purpose. Where applicable, the Group does utilise legitimate tax reliefs, exemptions and incentives where available and intended by the legislation.
Professional advice is sought on non-routine and complex tax matters that may arise or where there is any doubt in relation to the interpretation of tax law.
3 – Working with tax authorities
The Group seeks to ensure that interactions with tax authorities are conducted in an open, honest and professional manner.
For UK tax purposes, the Group has been assigned a Customer Compliance Manager (“CCM”) within HM Revenue & Customs (“HMRC”). The Group meets with the CCM at a regular cadence to share business updates as well as discuss any recent or upcoming tax developments.
The Group endeavours to maintain an open and collaborative relationship with HMRC through regular dialogue and discussing tax matters in a timely manner.
Where inadvertent errors may occur, they are dealt with as soon as possible, with full disclosure to HMRC or other relevant tax authorities.