Husqvarna UK Limited is an operating subsidiary of the Husqvarna Group. Husqvarna Group is a global leading producer of outdoor power products for forest, park and garden care. Products include chainsaws, trimmers, robotic lawn mowers and ride-on lawn mowers. The Group is also the European leader in garden watering products and a global leader in cutting equipment and diamond tools for the construction and stone industries. Husqvarna UK Limited has two principal activities. Firstly, the Company manufactures grass cutting and garden machinery for the Group for sale both in the UK and internationally. Secondly, the Company sells group products and solutions via UK dealers and retailers to both consumers and professional users of forest and garden and construction equipment. The Group operates via three distinct divisions: Husqvarna, Gardena and Construction.
This strategy covers:
- Our approach to tax
- How we manage our tax affairs
- Our attitude to tax risk and tax planning
- How we engage with HMRC
Our approach to tax
Paying taxes is an important part of contributing to society and Husqvarna UK is committed to pay its fair and correct share of taxes in consistency with relevant laws and regulations.
Managing our tax affairs
To fulfil its commitments in relation to taxes, actions and transactions dealt with by the company shall be consistent with:
a) The commercial rationale of Husqvarna Group’s business and operational activities where tax structuring should not disrupt the business or conflict with operational goals;
b) Protection of Husqvarna Group’s reputation and brand.
c) compliance with relevant laws, regulations, disclosure and reporting requirements; and
d) the Group´s code of conduct and with transparency in all dealings with the tax authorities and other relevant bodies.
In relation to the calculation of tax, preparation and filing of tax returns and our other tax obligations, we apply the following policies:
a) Taxes should be calculated and paid in accordance with the applicable laws and regulations.
b) Tax returns should be timely and accurately filed in accordance with applicable laws and regulations.
Our approach to tax risk
Husqvarna UK seeks to mitigate tax risk by:
a) Ensuring that there are processes in place and sufficient and proper setup in its systems to fulfil local requirements with respect to tax returns and calculating taxes.
b) Monitor and stay updated on local changes in tax law and practice.
c) Obtaining advice from external advisors where necessary and when the group is uncertain of the tax treatment to adopt.
d) Engaging with the Husqvarna Group Tax team for guidance and advice in relation to tax matters and to ensure the Company’s actions are appropriate in the context of the Group.
How we engage with HMRC
Our policy is to be transparent open and honest in all dealings with HMRC, as well as other tax authorities and relevant other bodies. Where tax treatment is uncertain, advice from external advisors may be obtained, and to the extent possible and when the situations requires, is the Company’s aim to discuss the issues with the relevant tax authorities in advance.
Enquiries raised by tax authorities will be dealt with on a timely basis, and answered in an open and honest way.
This tax strategy is published in respect of the accounting period ended 31 December 2019. It will be reviewed and republished annually with any necessary changes that reflect an actual change in strategy.
The publication of this strategy is considered by Husqvarna UK to meet its obligations under Paragraph 22 Schedule 19 Finance Act 2016.