Tax Compliance Policy

Policy Statement

The Company is committed to full compliance with all applicable tax laws, rules, and regulations in every jurisdiction where it operates. This Tax Compliance Policy establishes a framework for transparent, ethical, and lawful management of the Company's tax obligations while supporting its strategic business objectives.

Objectives

• Ensure accurate and timely payment and reporting of all tax liabilities.
• Establish strong internal controls for managing direct and indirect tax obligations.
• Maintain transparent and cooperative relationships with tax authorities.
• Mitigate tax-related risks through compliance, documentation, and review procedures.
• Align tax management practices with the Company's ethical standards and governance principles.

Scope and Applicability

This policy applies to all employees, departments, and subsidiaries of the Company involved in tax-related activities. It covers all forms of taxes including corporate income tax, Goods and Services Tax (GST), withholding taxes, payroll taxes, and any other statutory levies.

Guiding Principles

• Compliance: The Company shall comply with all applicable tax laws, reporting obligations, and filing requirements.
• Transparency: All tax transactions and filings must be transparent, accurate, and supported by appropriate documentation.
• Integrity: Tax planning and reporting must be ethical, avoiding any practice that could be construed as tax evasion.
• Accountability: Each department shall be responsible for ensuring the tax implications of its activities are managed appropriately.
• Documentation: Accurate and complete records must be maintained to substantiate all tax positions and filings.

Tax Governance Framework

The Company's tax governance framework is based on oversight, accountability, and risk management principles. The Finance Department, under the leadership of the Chief Financial Officer (CFO), shall oversee all tax-related activities.

• The Board of Directors shall approve the overall tax strategy and monitor compliance performance.
• The CFO is responsible for implementing the tax policy and ensuring appropriate systems are in place.
• The Finance Team shall prepare tax filings, maintain records, and ensure timely remittance of dues.
• The Compliance Department shall review adherence to statutory requirements and coordinate with auditors.

Tax Planning and Risk Management

Tax planning activities must align with business objectives while complying with the letter and spirit of the law. The Company will adopt legitimate tax-saving measures only where they are consistent with commercial and ethical standards.

• Evaluate tax risks in all significant business transactions and new ventures.
• Avoid aggressive tax structures or artificial arrangements designed solely to reduce tax liabilities.
• Engage professional advisors when necessary to ensure compliance with complex tax regulations.
• Maintain a register of tax risks and mitigation measures as part of the Company's compliance reporting.

Compliance and Filing Procedures

• All tax returns, payments, and disclosures must be prepared accurately and submitted within statutory deadlines.
• The Finance Department shall verify calculations, reconciliations, and supporting schedules prior to filing.
• All tax-related correspondence with authorities must be routed through authorized representatives only.
• Adequate provisions must be made in the financial accounts for current and deferred tax liabilities.

Relationship with Tax Authorities

The Company shall maintain a transparent, professional, and cooperative relationship with tax authorities. All communications must be accurate, respectful, and handled by designated personnel only.

• Respond promptly and accurately to notices, inquiries, and audits from tax authorities.
• Avoid offering, soliciting, or accepting any improper payments or inducements related to tax matters.
• Disclose material tax disputes or pending litigation to the Board and auditors on a timely basis.

Record Retention and Documentation

All tax-related documents, including returns, invoices, assessments, correspondence, and working papers, must be retained for a minimum of eight (8) years or as required by law. Electronic and physical records must be securely stored and readily accessible for audits or reviews.

Training and Awareness

The Company shall conduct periodic training sessions to ensure that employees involved in financial and tax-related functions are aware of current regulations, procedures, and compliance expectations.

Non-Compliance and Disciplinary Action

Failure to comply with this policy, whether intentional or due to negligence, may result in disciplinary action, including termination of employment, recovery of losses, or legal proceedings, depending on the severity of the breach.

Policy Review

This policy shall be reviewed annually or as necessary to reflect changes in tax laws, business operations, or regulatory expectations. All revisions must be approved by the Board of Directors and communicated to relevant stakeholders.

Employee Acknowledgment

I acknowledge that I have read and understood the Tax Compliance Policy of the Company I agree to comply with all tax-related responsibilities and uphold the Company's commitment to ethical and lawful tax practices.

Employee Name: __________________________

Signature: ______________________________

Date: _________________________________