Tirlán’s tax strategy
This statement of Tirlán’s tax strategy (“Tax Strategy”) sets out the strategy for conducting the Group tax affairs in those countries where we do business (including Ireland, UK and the US) and the processes and procedures for managing tax risks.
The Tax Strategy applies to all Officers, Executive and Non-Executive Directors, employees and contract, agency and temporary staff who are responsible for or have an impact upon the execution of our tax strategy.
Tirlán is a world-class food and nutrition co-operative, with a diverse portfolio of quality ingredients, leading consumer and agri brands. The farmer-owned business has a first-class track record of success in the global market.
Rooted in a rich heritage of family farming and embedded in its communities, Tirlán has evolved to bring the passion of its farmers and their high-quality milk and grains to the international marketplace. Using modern-day technology and applying the best processes to its milk pool of three billion litres and its premium grains portfolio, Tirlán now exports to more than 80 countries.
Its award-winning brands are household names in Ireland, and include Ireland’s number one consumer dairy brand, Avonmore. The organisation draws on a wealth of experience to deliver exceptional products and tailored nutritional solutions including Kilmeaden, Wexford, Truly Grass Fed, Solmiko, CheddMax and GAIN. Tirlán has a strong market presence in the UK, France, Germany, UAE, the US, North Africa, Japan and China.
A talented team of over 2,100 people manage Tirlán’s network of 11 production facilities serving its communities with annual revenues of over €3 billion expected in 2022. Tirlán is committed to sustainability throughout the organisation through its comprehensive Living Proof programme, and the Science-Based Targets initiative (SBTi) contained within it.
Tirlán is a market leading, international organisation and we recognise that to remain internationally competitive, we need to deliver sustainable value to our members through investment in our brands, production capabilities and facilities as well as by the acquisition of new businesses and intellectual property where appropriate. In this regard, the tax strategy is to deliver a sustainable, optimised tax rate for the business, while ensuring that our transactions are conducted with integrity and in accordance with all relevant tax legislations within the countries where we do business.
Tirlán’s tax strategy is designed to:
- Ensure compliance with all legal and disclosure requirements across the jurisdictions in which the Group operates as well as with the applicable legal and fiduciary duties of directors and employees. Where appropriate, the Group seeks external tax advice to ensure all tax planning is compliant with relevant tax laws and to ensure that all tax planning transactions are conducted in accordance with relevant tax regulations. All of the Group’s dealings with its stakeholders (including its members, employees, consumers, customers and the communities where it operates) are based on best practice and there are procedures in place across the organisation to ensure full compliance with this policy; and
- Support the delivery of the Group’s strategy through the appropriate management of its tax affairs.
The board of directors (the “Board”) is responsible for setting and monitoring the strategy of Tirlán and, by extension, its tax strategy. The Board has a clear governance framework with defined responsibilities and accountabilities. Tirlán’s code of business conduct, for example, sets clear parameters for the conduct of all Officers, Executive and Non-Executive Directors, employees and contract, agency and temporary staff.
Tirlán’s Group Executive Leadership Team is responsible for overseeing the effective execution of the business and, by extension, the tax strategy as well as monitoring risk exposures and establishing appropriate internal controls for risk identification and mitigation.
Tirlán’s Audit & Risk Committee, in line with its responsibilities, reviews the design and implementation of the Group’s risk management systems and internal controls.
Risk management is a regular agenda item at Board meetings. In addition, the Board conducts a detailed consideration of the impact of the Group’s principal risks during the annual strategy process.
Tax Risk Management
Tirlán is an Irish organisation that is a supplier to more than 103 countries.
A key imperative for delivering a sustainable, optimised tax rate is the effective identification and management of tax risks. This is supported by ensuring that a robust risk management culture exists throughout the Tirlán organisation. Accordingly, those individuals to which this Tax Strategy applies are responsible for identifying and escalating perceived tax risks to Tirlán’s Chief Finance & Secretariat Officer.
The Chief Finance & Secretariat Officer is responsible for maintaining a risk register, the ongoing monitoring of tax risks as well as the establishment of parameters and procedures to minimise the likelihood of the identified tax risks materialising. Tirlán’s Audit & Risk Committee, Executive Leadership Team and the Board review the Group risk register, including emerging risks, periodically during the year.
Relationship with tax authorities
Tirlán is committed to acting with integrity at all times, maintaining a transparent, open and honest relationship with tax authorities and to undertake any such dealings in a professional and timely manner.
Where relevant and possible, we endeavour to engage with tax authorities over areas of tax uncertainty to minimise our tax risk and provide greater certainty for us and tax authorities in advance of our tax return being filed. We endeavour to respond to queries, information and clearance requests in a timely manner as this minimises the risk of damage to our reputation and brands.
Glanbia Feedstuffs Limited and Glanbia Foods NI Ltd considers that this Tax Strategy is compliant with its duty under section 161 and Schedule 19 of Finance Act 2016 to publish its tax strategy in respect of the financial year ended 31 December 2022 for all relevant UK companies.