This page sets out the tax strategy for International Entertainment Holdings Limited and its subsidiaries (“the Group”).
The processes and controls which support the delivery of the tax strategy are documented on the Senior Accounting Officer (“SAO”) file.
The tax strategy applies to the following taxes:
- All corporate income taxes
- Theatre tax credits
- Indirect taxes (VAT, SDLT)
- Employment taxes (PAYE/NI)
- Any other taxes
1.2 Ownership and approval
The tax strategy is prepared and updated by the Group Tax Manager and is approved by the board. Execution of the strategy is the responsibility of the board, with day to day responsibility delegated to the Chief Financial Officer.
The strategy applies to all Group staff who have a responsibility for tax. It is communicated to relevant stakeholders in the business. It is reviewed and updated annually.
2. Tax strategy
The Group is engaged in live theatre. It owns and operates 46 venues worldwide, is a theatre producer and operates a theatre ticketing business. Tax is a consequence of the activities the group undertakes.
2.1 Tax strategy and risk appetite
The group complies with all tax regulations and disclosure requirements in all territories in which it operates.
The Group submits all its returns by the due dates in accordance with local law.
The Group’s appetite for tax risk is low. Aggressive tax planning is not considered.
The Group complies with the legislation to prevent the facilitation of tax avoidance, has conducted a risk review on its activities and will ensure all relevant staff are appropriately trained.
2.2 Relationship with HMRC
We maintain an open dialogue with HMRC and the relevant overseas tax authorities with a view to identifying and solving issues promptly. The Group is committed to being transparent with HMRC in all its dealings. Where appropriate, we seek agreement from HMRC in advance.
The tax strategy is delivered by the Group Tax Manager and other employees that have responsibility for tax compliance/reporting. Our tax operating model is supported by a schedule of accounting procedures and controls which are monitored to ensure tax compliance.
The Chief Financial Officer has overall responsibility for the execution of the strategy. The CFO acts as Senior Accounting Officer and submits an annual certificate to HMRC stating that the group has appropriate tax accounting arrangements.
Preparation of tax returns and payments of tax are dealt with by the Group Tax Manager and the finance team together with external advisors, more specifically:
Corporate income taxes Group Tax Manager/Deloitte/Andersen & Pennington
VAT Finance Team/Group Tax Manager
Employment Taxes Finance Team/Group Tax Manager
Payments Finance Team
3.2 Risk identification and reporting
The Group Tax Manager will report to the CFO and the board where appropriate on:
- Significant tax risks
- Changes in tax legislation which will have a material impact
- The tax impacts of significant transactions (eg. Acquisitions)
Members of the finance team who are responsible for tax undertake continuous professional development.
3.4 Use of professional advisors
The preparation of the corporate income tax returns is outsourced to professional advisors. Advice is sought on significant transactions which will have a material effect.
3.5 Document retention
Records and documents required to support tax returns are maintained for at least the amount of time required by local law.