Alliander’s tax policy focuses on national taxes in the Netherlands, which are mainly corporate income tax, wage tax and VAT. Dutch tax law applies to the largest share of this by far, with a small portion, namely our activities in Germany, falling under German tax law. The table below shows the totals per type of tax per country.
Tax payments in 2020
Corporate income tax
In the past, Alliander entered into a covenant with the Dutch Tax and Customs Administration under the ‘Horizontal Supervision’ arrangements. Among other things, this means that we regularly engage in active, constructive and transparent talks with the tax authorities in respect of taxation that is relevant to Alliander. When implementing our tax strategy, we follow the guidelines set out in Alliander’s risk management model. The Tax Control Framework is used as a risk mitigating measure to ensure a correct and complete tax return for the various types of tax, arrange timely submission of the returns and make sure that the tax owing is paid on time.
With regard to matters relating to tax and subsidies, we have set the following objectives:
We are compliant and observe the valid tax rules. We make use of tax facilities in a manner appropriate to our social position. This means that we apply the tax rules within our normal business operations and do not set up structures that mainly target tax avoidance.
We attach great value to having a good relationship with the Dutch Tax and Customs Administration and work with them based on mutual trust, understanding and transparency.
In our financial reporting – in the financial statements for example – we are transparent about the tax we pay.
We are transparent vis-à-vis internal and external stakeholders with regard to all relevant records relating to tax and subsidies.
For cross-border activities, the transfer pricing rules apply. We abide by these rules.