ZPG Limited (“ZPG”) which, through its subsidiaries, owns and operates leading household brands such as Zoopla, uSwitch and Confused.com, seeks to apply the spirit as well as the letter of the law with regards to UK and global tax legislation, believing that we should pay our fair share of tax on the profits arising from our success, and we do not plan to deviate from this embedded culture going forward.
ZPG is part of the technology sector, a dynamic and fast-paced industry, where there are added risks involved in companies keeping compliant with global tax legislation that changes year on year.
Prior to April 2021, ZPG was largely comprised of UK entities with UK based businesses only. In, in April 2021, ZPG acquired businesses with legal entities in France, Spain and Mexico amongst others. ZPG’s international footprint has therefore expanded and to help manage the increased UK and international tax risk, the ZPG group appointed its first in-house tax specialist in June 2021. Our internal tax processes and procedures provide sufficient segregation of duties and all returns are reviewed to mitigate the risk of error. The tax processes and procedures are regularly monitored and updated to ensure they operate effectively and for SAO reporting.
On areas of uncertainty, we seek professional advice on tax matters to ensure our compliance with all tax obligations whilst maintaining a low-risk approach.
The ZPG group has an audit committee which has oversight of tax risks, and these are raised to the audit committee and the Board of ZPG by the Group Finance Director where relevant. The Group Finance Director has regular contact with the in-house tax specialist so that they can be kept updated on tax risks as and when they arise.
We take a conservative approach to tax planning and strategy. As such, no effective tax rate target is set by the Board and we have no motive or intention to enter into tax mitigation arrangements that could be considered as abusive in the current business climate.
Historically we have grown the business through acquisition, and if this trend continues, we will seek ‘acquisition-based’ tax advice as appropriate. Whilst we ensure that new acquisitions are integrated into the group in a tax efficient manner, we have no structured tax planning that could be considered abusive.
We believe that corporations should pay their fair share of tax, and we do not plan to deviate from this embedded culture going forward.
Overall, we take a low risk approach in dealing with tax risks, tax governance and tax compliance. This is reinforced by our strong and proactive relationship with Her Majesty’s Revenue and Customs, where no significant issues arose during previous reviews of our corporation tax, VAT and employment tax systems and processes. Where findings are recognised we take this as an opportunity to update our processes.
Further, our code of conduct is rooted to core values of honesty and integrity. Such values are ingrained in the business culture here at ZPG and prove integral to the way we carry out business extending from internal matters such as employee conduct to external affairs regarding UK tax compliance.
The publication of this tax strategy is considered to constitute compliance with the duty under paragraph 16(2) Schedule 19 Part 2 of Finance Act 2016.
This tax strategy is reviewed annually and was last updated in September 2021.
The Annual Report and Financial Statements for the period ended 30 September 2020 can be found here.
The Annual Report and Financial Statements for the three month period ended 31 December 2020 can be found here.