Tax strategy in the UK
Triumph International Limited (“Triumph UK”) was founded in 1954 as a UK registered subsidiary of the Triumph group, which was itself founded in 1886 in Germany.
Triumph group operates in 120 countries around the world, as a leading producer of underwear, nightwear, swimwear and leisurewear. The group has several house-owned brands (the most significant of which being Triumph and Sloggi) and in some markets also acts as a supplier for products sold by independent third parties under private labels.
Triumph UK operates as a sales and distribution entity, responsible for the UK and Republic of Ireland markets.
This UK tax strategy is approved by the Board of Directors of Triumph UK and the Global Tax Department (based in the group’s headquarters in Bad Zurzach, Switzerland), and applies to the obligations of Triumph UK with respect to UK taxation.
“UK taxation” where used in this document refers to UK corporation tax, indirect taxes (including VAT, stamp duty and stamp duty land tax), employment taxes (including PAYE income taxes / National Insurance) and other applicable tax matters.
This UK tax strategy is published in compliance with Schedule 19 of Finance Act 2016.
Tax risk management and governance arrangements
As part of a multinational group, the tax policies and procedures relating to the UK tax affairs of Triumph UK are based on those designed and supported by the Global Tax Department for the wider group.
As applied to the UK, the key tax policies and procedures include the following:
- The UK Finance Department is responsible for the routine management of the UK business including filing, payment obligations and preparation of tax accounting information.
- External tax advisors are engaged in order to assist with the preparation of UK corporation tax returns, and to provide ad hoc advice on more complex matters as may arise in these areas. Payroll tax filings in the UK and Ireland are managed by external providers.
- The Global Tax Department is regularly consulted on tax matters that are material or have strategic relevance for the group, such as non-routine transactions and the implementation of controls and procedures to manage and reduce tax risk. The UK Finance Department reports all significant or non-routine tax matters to the Global Tax Department. Depending on the transaction specialist external advice may be taken, and material transactions are routinely escalated to the Global Chief Finance Officer for approval.
Tax planning and risk appetite
The Triumph group aims to structure all transactions in a compliant and tax efficient manner, applying professional care and judgement and with due regard to the guidance issued by the Organisation for Economic Co-operation and Development (OECD) for international tax matters.
Triumph UK has a low tolerance for tax risk, does not engage in artificial tax arrangements and aims to ensure that outcomes are consistent with commercial realities.
By implementation of this UK tax strategy and the policies and procedures summarised herein, the business aims to comply with obligations in respect of UK taxation in such a way as to minimise the risk of tax audit and prevent unexpected deviations from tax provisions made.
Approach to dealings with HMRC
Triumph UK adopts the following approach to dealings with HMRC:
- Triumph UK aims to submit all required filings and make all payments in relation to UK taxation in an accurate and timely manner, and in compliance with all applicable tax laws and disclosure requirements.
- We aim to maintain a professional, co-operative and transparent approach to communications with HMRC, and to respond to any requests received in a timely manner. We aim to resolve any disagreements which may from time to time arise in a collaborative and open manner.
- We aim to disclose any inadvertent errors or omissions in tax returns or underpayments of tax in a timely manner once they have been identified.