This tax strategy has been published in accordance with paragraph 16(2) of the Finance Act 2016 and applies to Vivo Energy and its group subsidiaries. It applies to the accounting period ended 31 December 2018.
Vivo Energy is an African focused company with about 15 offices across the African continent. To understand more of what Vivo Energy does and where it operates, visit our About section. Vivo Energy tends to seek an open and transparent relationship with the tax authorities in all the jurisdictions in which it operates. Vivo Energy pays tax in accordance with the appropriate legislation in each of these jurisdictions.
Our approach to operating responsibly includes paying the appropriate level of tax in all the jurisdictions in which we operate and the mitigation of risks wherever possible.
Vivo Energy has rigorous risk management policies in place to ensure that it complies with all relevant national and international legislation and regulations. The policies and their implementation are overseen by the finance function, which reports directly to the Management Team.
The group aims to ensure that all personnel with tax responsibilities, or whose business activities may have a tax impact, have a consistent understanding of how tax risk is identified, assessed, reported and managed.
Those responsible for tax matters regularly liaise with business units to discuss commercial activities and related tax matters.
Ongoing checks are made of processes and procedures to ensure staff responsible for processing tax related matters perform their functions correctly and diligently. This includes input from external advisers who are regularly used to review the work undertaken by internal staff and assist with the preparation of tax filings where needed.
The group seeks to ensure that tax planning is aligned with commercial activity. This means that tax decisions are made in response and aligned to the commercial activity we undertake.
Like any business expense, however, the group has an obligation to manage tax costs as part of its financial and fiduciary responsibility. The group will therefore seek to respond to tax incentives and exemptions granted by governments where appropriate.
In line with our Code of Conduct, our primary objective is to apply the law correctly to all our transactions and, in so doing, our aim is to minimise tax risk.
Vivo Energy recognises that tax legislation can be complex and needs to be interpreted in the context of the group’s economic activity.
We seek expert and independent advice and opinion as appropriate to reduce uncertainty as far as possible.
Vivo Energy’s Code of Conduct makes clear that Vivo Energy will engage, where possible, with the relevant authorities. The group seeks to work positively, pro-actively and transparently with tax authorities to minimise the extent of disputes and achieve certainty, wherever possible.
This includes being committed to providing all relevant information that is necessary for tax authorities to review possible tax risks. We seek to work collaboratively with tax authorities to achieve early agreement on disputed issues and certainty on a real-time basis, wherever possible.