Financial year ended 31 December 2017
Arnold Clark Automobiles (‘the Group’) is a UK automotive retail and after sales business with branches throughout the country. Our policy has always been to pay the correct amount of all taxes as they fall due. The Group pays a range of taxes including corporate income taxes, employment taxes, and stamp duty land tax. We also collect and pay employee taxes as well as indirect taxes such as VAT.
For the purposes of the Group’s tax strategy, tax is defined as all forms of direct and indirect tax charges or levies, and applies to all UK entities within the Group.
The Group Finance Director is responsible for the Group’s tax strategy which is approved by the Main Board. The implementation and delivery of the strategy is supported by the group tax and finance teams.
The Group has a low tolerance to tax risk. We are committed to paying the right amount of tax at the right time, and to comply with tax legislation and reporting requirements in the UK. To achieve this, we ensure we have the right procedures, processes and controls in place throughout our business to minimise the risk of non-compliance. These processes and controls are tested on a regular basis. If errors or weaknesses are identified, the potential impact is assessed, and our processes amended. Tax implications are considered. Any required adjustments would be made and disclosed to HMRC as appropriate.
The Group utilises available incentives and reliefs within the UK Tax legislation, such as capital allowances and research and development credits.
Given the complexity of tax legislation, we engage external tax advisers to provide an independent view on our tax compliance in all significant areas.
The Group approaches all dealings with HM Revenue and Customs (“HMRC”) in an open and transparent way. We are committed to addressing any tax enquires or audits with HMRC promptly and resolving these in an open and constructive manner.
Arnold Clark Automobiles Limited considers that the publication of this statement complies with the duty set out in Part 2 of Schedule 19 Finance Act 2016.