Tax Strategy for the NATS Group
The tax strategy of NATS Holdings Limited and its subsidiaries is set out below. The group’s tax strategy is approved and overseen by the Board and managed through a governance structure under the Tax Committee, which is chaired by the group’s Finance Director and reports regularly to the Audit Committee and to the Board. Tax compliance is taken seriously and considered at all levels of the business. Tax includes all taxes within the business.
Approach to risk management and governance
Tax matters are proactively managed by having robust business and tax controls and processes which are documented and reviewed annually by the group’s Senior Accounting Officer.
Full compliance is one of the main objectives of the tax function. The tax function ensures that tax returns are completed on an accurate and timely basis and that tax payments are made when required. Where NATS group holds investments in associates and joint ventures, as far as we are able, we ensure that the same policy is followed. Where overseas returns are required, we utilise the services of professional advisors to ensure that we are compliant.
Where the NATS group pursues business opportunities in new territories we engage third party professional advisors as required to ensure we are aware of relevant tax obligations.
The group has a Tax Committee which meets six-monthly to review the group’s tax position. The Tax Committee is chaired by the group’s Finance Director and includes a partner from an external tax practice as well as other members of the senior management team.
A register is maintained of the tax risks faced by the group which is examined by the Tax Committee and escalated to the Audit Committee and Board where required.
Attitude towards tax planning and level of risk in relation to taxation that NATS is prepared to accept
The NATS group complies with the relevant laws, regulations and obligations regarding the filing of tax returns, payment and collection of tax in all those jurisdictions in which it operates.
The group adopts a low risk approach to tax planning. It utilises tax reliefs and concessions where these are available, based on its judgement of a reasonable interpretation of the tax law. Annually, the Tax Committee reviews this approach, by considering the appetite of the group to tax planning risk and compliance risk. When evaluating tax planning opportunities we consider the group’s corporate, ethical and social responsibilities and will consult HMRC or equivalent regulators in other tax jurisdictions where we operate where appropriate.
Approach in its dealings with HMRC
The NATS group has a low risk rating with HMRC and wishes to maintain this level and manages its affairs accordingly.
The NATS group meets annually with HMRC to ensure that HMRC are aware of major developments within the business.
The group also maintains an on-going dialogue with HMRC to ensure that they are involved at an early stage should any tax issues arise.
This strategy outlines the purpose of the tax function and is reviewed annually by the Tax Committee. Ownership of the strategy ultimately sits with the Board. Responsibility for its delivery sits with the tax department and spans all areas of the business.
The NATS group considers that publication of this tax strategy meets the requirements imposed by Schedule 19 of the Finance Act 2016.