SHV is committed to upholding the highest standards of ethics and integrity. As a responsible taxpayer, we understand that taxes are essential for the funding of the public services and infrastructure that are critical to well-functioning societies. SHV and its Groups contribute consistently acting on our obligation to pay the legally due amount of tax across every territory in which we operate. We pay direct and indirect taxes, in addition to collecting taxes from our employees and customers on behalf of governments.
SHV exclusively employs business structures that are driven by commercial considerations, where economic substance is aligned with business activities. We also ensure that our use of tax incentives is in line with its policy intent and aligned with business activities and operational objectives, provided that these incentives are generally available to all market participants and are specified by law. In doing so, we make sure that tax always follows the business.
We pay tax on profits according to where value is created within the normal course of our business activities. We do not use aggressive tax planning strategies nor tax havens to avoid taxes. If any entity is based in a no or low tax jurisdiction, it exists for business reasons only and has proper substance in relation to its business activities. The pricing of intercompany transactions is applied consistently and done in accordance with the arm’s length principle developed by the OECD.
Being a responsible taxpayer is also one of the reasons why SHV endorses the Tax Governance Code issued by the Confederation of Netherlands Industry and Employers (VNO-NCW). SHV’s tax strategy is aligned with the tax principles of the Tax Governance Code. This Code also requires companies to be open about their tax payments, so that people can understand how much is paid, where and why. SHV supports this as transparency can build trust. It is about putting the numbers into context, but also about demonstrating the commitment to comply with legislation and explaining a company’s approach to tax.
SHV maintains an open and constructive dialogue with tax authorities based on transparency and trust. SHV engages with them with honesty, integrity and respect.
