Roxane UK Limited – UK tax strategy

Roxane UK Limited (‘Company’ / ‘Roxane UK’) is the UK company and a wholly owned subsidiary of Alma SA, a company incorporated in France. It is part of the wider EU based Alma Group (‘Group’). The Company’s principal activity is that of the production, import and wholesale of spring water. A significant proportion of sales (99%) are made to UK based customers, with the balance of customers being based in France, Spain and Ireland.
Roxane UK was acquired in 2005 and has been significantly invested into and developed by the Group, which has led to its accelerated growth. The Company currently operates from two UK plants located in Lichfield and in Eden Valley.

Approach to Tax Risk Management

Roxane UK aims and strives for its tax affairs to be fully compliant with the UK legislation and to that effect, the Board of Directors, which includes the Group Chief Financial Officer, are committed to maintaining tax compliance on an ongoing basis.

Day-to-day oversight and responsibility for the management of tax strategy and tax risks in the UK are the responsibility of the Director General, the European Group Director and the Group Chief Financial Officer. They meet on an ad-hoc basis to discuss the assessment, management and mitigation of UK tax risks in addition to compliance obligations.

The Company is liable to a range of taxes in the UK, including corporation taxes, VAT and employment taxes. Roxane UK has appointed an external firm of professional tax advisors to assist with: (i) the preparation and submission of corporation tax returns, (ii) operation of the payroll function and (iii) its VAT obligations. The business relies upon these advisors to make them aware of relevant new or updated tax legislation in order to reduce the risk of any inadvertent non-compliance.

Attitude to Tax Planning

The founder of the company, Mr Pierre Papillaud was a pioneer in this industry and it was his passion to efficiently grow a sustainable business, without any detrimental impacts to the reputation of the Group.

Correspondingly, tax has never been at the forefront of any decision-making process. The Company is committed to not undertaking any tax planning which could damage or hinder its reputation or that which is inconsistent with its values.

The Group does not engage in artificial tax arrangements.

The Company seeks to maintain an appropriate balance of all stakeholders’ interests whilst upholding its key values.

The Company aims to claim appropriate tax reliefs in line with the UK legislation when these are aligned with the business’ commercial operations and circumstances. The Company does not seek to interpret the legislation in a way which is contrary to the intentions of Parliament.

The Company’s attitude to tax planning is that it does not enter into aggressive transactions where the main purpose is to gain a tax advantage.
Roxane UK does not intent to diversify its operations, products or service offerings which can be deemed as diverging from its main business.

The individuals responsible for tax matters are expected to adopt and uphold the aforementioned approach when dealing with the tax affairs of the company.

Level of Tax Risk for UK Taxation

Roxane UK adopts a low-risk approach to tax, which aligns with its objective to be fully tax compliant with the UK tax legislation.

The company’s focus is on delivering accurate tax returns to HM Revenue and Customs (‘HMRC’) to ensure the correct amount of tax is paid in a timely manner.

Inter-company transactions are conducted on a basis that is in accordance with the Organisation for Economic Cooperation and Development principles.

Approach to working with tax authorities

Roxane UK considers HMRC to be an external stakeholder in the business.

The Company aims to satisfy the necessary filing and payment requirements in accordance with the deadlines set by HMRC, and ensuring all statutory records are maintained.

When dealing with HMRC, the Company seeks to maintain an open, cooperative and transparent relationship. In line with this, the Company will raise matters with HMRC, itself or through its professional advisors, where it seeks to obtain clarity about uncertain tax matters and/or obtain advance clearance in respect of intended filing positions.