CPA Global Group Tax Strategy

The publication of this strategy statement is regarded as satisfying the statutory obligation under Para 16(2), Schedule 19, Finance Act 2016. This strategy applies to all CPA Global Group entities organized in the UK (collectively “CPA UK").

Introduction

CPA Global (‘the Group’ or ‘CPA Global Group’) is the world’s leading Intellectual Property management and technology service provider. The Group serves over 10,000 customers and connects millions of global IP users every day. The Group also brings to market new ways to manage IP more efficiently, minimize risk and make better decisions through revolutionary technology. The Group is present in 4 continents and 12 countries through 24 offices and employs over 2000 people.

This document sets out the approach taken to tax and risk management and is effective for the year ending 31st December 2018 and applies until amended or replaced. This document aims to be compliant with the UK tax strategy publication requirement set out in Part 2 of Schedule 19 FA 2016. The scope of this report is limited to UK tax resident entities.

Statement

CPA Global Group is committed to complying with the tax laws and practices in all the territories in which CPA Global Group operate, including the UK, where it has some holding and operating activities. Compliance for CPA UK 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 and claiming relief and incentives where available. CPA UK does not pursue aggressive tax avoidance or evasion schemes and values certainty in all areas of taxation. Where uncertainty exists external advice may be sought in particular circumstances. CPA UK maintains a simple business model, which is in line with that of the wider group. This is documented in the Group’s master and local files and is such that it remains driven by commercial requirements before tax incentives. Where tax planning is brought to the attention of CPA UK, this is critically evaluated based on the Group’s stated tax strategy and taking into consideration both reputational risk and the degree of risk considered to be attached to that planning.

Tax Principles

CPA UK has established the following key principles in relation to its tax policy:

  • To ensure full compliance with all UK statutory obligations;
  • To ensure adequate accounting and control systems to support the preparation of accurate and complete returns;
  • CPA UK does not pursue aggressive tax avoidance or evasion schemes
  • It is recognised that tax is a cost to the business which is controlled and managed to ensure that excessive tax is not paid;
  • To ensure tax allowances available are maximised and all available tax relief claimed;
  • To maintain a constructive professional relationship with the HMRC;
  • To maintain adequate documentation to support tax decisions made

Systems and Roles and Responsibilities

Responsibility for accounting and tax processes rest primarily with the Group Financial Controller based in the UK who is supported by a team based in India (‘India team’) managed by an associate company of the CPA Global Group. The Group Financial Controller is also supported by professional advisors based in the UK. The Group Financial Controller reports to the Chief Financial Officer, based in London, UK. CPA UK acknowledges the importance of robust accounting systems to support accurate tax submissions and is sufficiently supported, qualified and resourced to ensure good accounting systems are maintained.

Dealing with HMRC

CPA UK has maintained a co-operative relationship with HMRC. The Group’s policy is to mitigate exposure to any potential penalties. Therefore where errors are found these will be disclosed to HMRC as appropriate. Enquiries and audits are managed by the Group Financial Controller with the support of India team and professional advisors where necessary.