Tax Strategy of the UK sub-group owned by PPL Corporation
The following information is provided to fulfill PPL’s obligation to publish its tax strategy under Schedule 19, of the U.K. Finance Act 2016.
PPL’s U.K. Presence
Following PPL’s sale of the Western Power Distribution group (collectively, “WPD”) to National Grid plc on June 14, 2021, PPL continues to own two United Kingdom (“UK”) subsidiaries (“UK sub-group”) that are essentially dormant and have minimal activity.
The statements below apply to our approach and attitude to taxation affairs both before and after the sale of WPD. While there has been a significant reduction in UK activities following the sale of WPD, the same personnel continue to be involved in managing the taxation affairs of the UK sub-group.
Our approach to tax governance
- The boards of directors of the UK sub-group takes ultimate responsibility for the management of taxation affairs in the UK, including the management of risk, the compliance process and the control environment.
- The day-to-day responsibility for taxes is assigned to managers with appropriate tax knowledge and experience.
- The UK sub-group operates within a control environment that is regularly monitored and audited.
- Those responsible for tax are professionally qualified with appropriate experience. As tax laws are constantly evolving, there is a keen focus on keeping up to date with these changes.
PPL’s attitude to tax planning and tax risk
- PPL is committed to complying fully with applicable UK tax legislation and rules.
- PPL manages its tax affairs in a manner to minimize risks to stakeholders.
- With respect to tax matters, PPL is risk averse and does not take part in aggressive or artificial planning to reduce tax liabilities.
PPL’s approach to HMRC
- PPL views HMRC to be an important stakeholder in its business.
- PPL maintains an open and positive working relationship with HMRC.