DXC UK Tax Strategy
This strategy has been published in compliance with the duty imposed under paragraph 16(2) of Schedule 19 of Finance Act 2016.
Introduction
DXC Technology is the world’s leading independent end-to-end IT services company, uniquely positioned to lead digital transformations and create value for clients, partners and shareholders and to help them thrive on change.
The DXC Group is headquartered in Tysons Corner, Virginia, USA and the purpose of this document is to set out the approach applied in managing the tax affairs of the Group affiliates incorporated and tax resident in the United Kingdom - ‘DXC UK’.
Ownership and responsibility for maintaining the Tax Strategy
As part of a multinational Group, DXC UK is aligned with and follows DXC Technology’s Mission, C.L.E.A.R. Values and code of business conduct.
Overall responsibility for the DXC UK Tax Strategy rests with the Group’s Vice President of Global Tax, the Director of International Tax Operations and the UK Finance Director. The Tax Strategy is kept under ongoing review and is subject to formal review by the Group’s Vice President of Global Tax at least once a year.
Tax controls and processes are documented and subject to audit by internal audit for Sarbannes-Oxley purposes.
Our approach to tax
Tax compliance and our relationship with HMRC
DXC is committed to being fully compliant with its statutory and regulatory filing obligations, ensuring complete and accurate tax returns are submitted on time and that the correct amount of tax is paid on time.
Where the application of UK tax law is unclear, and in appropriate circumstances, DXC UK will obtain professional advice and where applicable, HMRC clearance, which will support the position taken in the relevant tax return.
DXC UK is also committed to maintaining an open, honest and transparent relationship with HMRC. The UK Tax team are expected to develop good working relationships and undertake all dealing with the UK tax authorities in a professional, courteous and timely manner.
Frequent interaction and the proactive management of the relationship with HMRC will help to ensure the minimization of the risk of challenge and audits/disputes. If a dispute does arise, DXC UK will cooperate fully with any investigation with a view to the timely resolution of all issues.
Tax planning and risk management
The Group is committed to managing its tax costs as part of its strategy to maximise total shareholder returns, while at the same time ensuring that the Group complies with all tax laws and regulations in the jurisdictions in which we operate.
The Tax department advises the Group on the tax consequences of transactions so that the business may structure its affairs in a manner that is consistent with its commercial and economic activity.
Tax risks are managed in accordance with the Group’s risk management framework, procedures and policies.
The UK tax implications of all major transactions (for example M&A transactions, corporate structure changes, and major cross-border transactions) are reviewed in advance by the DXC UK Tax team with appropriate support and approval from Finance, Treasury and Legal as well as advice from external advisors where required.
DXC UK will ensure that all decisions are taken at the appropriate level with appropriate supporting documentation. As part of the decision-making process, due consideration is given to the Group’s corporate responsibilities.
DXC UK accepts that certainty of tax treatment cannot be achieved in all circumstances (in the context of both compliance and planning). The precise amount of tax risk the Group is willing to bear depends on the facts and circumstances relevant to the issue under consideration.
In addition, to aid the management of UK tax risk, the processes and controls that support the delivery of The Tax Strategy will be examined annually as part of DXC UK’s Senior Accounting Officer (SAO) review.
