Tax Policy
ICL entities are committed to complying with applicable tax obligations of the various tax jurisdictions across the globe in which we operate. Our business activities generate a substantial amount and variety of tax obligations worldwide. We pay corporate income taxes, VAT, royalties on natural resources excavation, business taxes, climate change levy, stamp duties, employment and national insurance and other taxes such as excise duties.
The taxes we pay and collect form a significant part of our economic contribution to the countries in which we operate. ICL is committed to complying with tax laws in a responsible manner and to having open and constructive relationships with tax authorities. Compliance for us means paying the right amount of tax at the right time, completing accurate returns whilst also recognizing available legislative concessions and reliefs. ICL supports efforts to increase public trust in tax systems. ICL’s code of conduct sets out what is expected of everyone at ICL and our approach to tax aligns accordingly.
Tax Planning
We engage in efficient tax planning that supports our business and reflects commercial and economic activity. We do not engage in artificial tax arrangements. We adhere to relevant tax laws, and we seek to minimize the risk of uncertainty or disputes. We conduct transactions between ICL group companies on an arm's-length basis and in accordance with current OECD principles.
Tax incentives and exemptions are sometimes implemented by governments and fiscal authorities in order to support investment, employment and economic development. Where they exist, we seek to apply them in the manner intended. We establish entities in jurisdictions suitable to hold our overseas investments, considering our business activities, the prevailing regulatory environment available, and as appropriate in line with joint venture requirements.
Relationships with Authorities
We seek to build and sustain relationships with governments and fiscal authorities that are constructive and based on mutual respect. We work collaboratively wherever possible with fiscal authorities to resolve disputes and to achieve early agreement and certainty. We engage with governments on the development of tax laws either directly or through trade associations and other similar bodies as appropriate.
Transparency
We support the principle behind multilateral moves towards greater transparency that increase understanding of tax systems and build public trust.
Governance
ICL head of tax owns responsibility for implementing our approach to taxation, as approved by our executive management. ICL head of tax is also responsible for ensuring that policies and procedures that support the approach are in place, maintained and used consistently around the world and that the global tax team has the skills and experience required to implement accordingly.
For more information regarding taxation, see Item 10E and Note 15D in ICL's 2022 Annual Report.
