Tax Strategy

Kiril Mischeff Limited and Group Companies

1) Scope

Kiril Mischeff Limited and its group of companies are principally involved in the importation, processing, packing and distribution of food products and food ingredients.  The Group procures food products and food ingredients globally, for supply to food manufacturers, retailers and to the food service sector both within the United Kingdom and overseas.

Kiril Mischeff Limited is a wholly owned subsidiary of Kiril Mischeff (Trading) Limited, both being limited companies registered in England and Wales, and this tax strategy applies to all companies within the Kiril Mischeff (Trading) Limited Group, hereinafter referred to as “Group” or “the Group”,  in accordance with paragraph 19 of Schedule 19 to the Finance Act 2016.  A list of companies to which this strategy relates is set out below.  The strategy has been published in accordance with paragraph 19(4) of the Schedule.

This strategy applies from the date of publication until it is superseded. References to ‘UK Taxation’ are to the taxes and duties set out in paragraph 15(1) of the Schedule which include Income Tax, Corporation Tax, PAYE, NIC, VAT, Insurance Premium Tax, Stamp Duty Land Tax and Plastic Packaging Tax. References to ‘tax’, ‘taxes’ or ‘taxation’ are to UK taxation and to all corresponding worldwide taxes and similar duties in respect of which the Group has legal responsibilities.

2) Aim

The Group is committed to full compliance with all statutory obligations and full disclosure to relevant tax authorities. The Group’s tax affairs are managed in a way which takes into account the Group’s wider corporate reputation in line with the Group’s overall high standards of governance.

3) Governance in relation to UK taxation

  • Ultimate responsibility for the Group’s tax strategy and compliance rests with the Board of Directors of Kiril Mischeff (Trading) Limited;
  • Day-to-day management of the Group’s tax affairs is delegated to the Group Financial Controller who reports to the Group Finance Director.
  • The Group Finance Director is the Board member with executive responsibility for tax matters;
  • The Group finance team is staffed with appropriately qualified individuals;
  • The Board of Directors of Kiril Mischeff (Trading) Limited ensures that the Group’s tax strategy is one of the factors considered in all investments and significant business decisions taken.

4) Risk Management

  • The Group operates a system of tax risk assessment and controls as a component of the overall internal control framework applicable to the Group’s financial reporting system;
  • The Group seeks to reduce the level of tax risk arising from its operations as far as is reasonably practicable by ensuring that reasonable care is applied in relation to all processes which could materially affect its compliance with its tax obligations;
  • Processes relating to different taxes are allocated to an appropriately competent member of the Group finance team, who carry out a review of activities and processes to identify key risks and mitigating controls in place. These key risks are monitored for business and legislative changes which may impact them and changes to processes or controls are made when required;
  • Appropriate training is carried out for staff outside the finance team who manage or process matters which have tax implications;
  • Advice is sought from external advisers where appropriate.

5) Attitude towards tax planning and level of risk

The Group manages risks to ensure compliance with legal requirements in a manner which ensures payment of the correct amount of tax.

When entering into commercial transactions, the Group seeks to take advantage of available tax incentives, reliefs and exemptions in line with, and in the spirit of, tax legislation.  The Group will not implement aggressive tax planning schemes that would disconnect from the conduct of the business or enter into artificial tax planning arrangements.

The level of risk which the Group accepts in relation to UK taxation is consistent with its overall objective of achieving certainty in the Group’s tax affairs. At all times the Group seeks to comply fully with its regulatory and other obligations and to act in a way which upholds its reputation as a responsible business. In relation to any specific issue or transaction, the management is ultimately responsible for identifying the risks, including tax risks, which need to be addressed and for determining what actions should be taken to manage those risks, having regard to the materiality of the amounts and obligations in question.

6) Relationship with HM Revenue & Customs

The Group maintains an open and honest relationship in its dealings with HM Revenue & Customs and will seek to work in a collaborative and efficient manner in relation to its tax dealings.

The Group ensures that HM Revenue & Customs is kept aware of significant transactions and changes in the business, and seeks to discuss any tax issues arising at an early stage. When submitting tax computations and returns to HM Revenue & Customs, the Group discloses all relevant facts and identifies any transactions or issues where it considers that there is potential for the tax treatment to be uncertain.  There may be isolated occasions where positions are challenged and our views of the appropriate tax treatment may differ from those of HM Revenue & Customs.  In such circumstances we will work constructively and proactively with HM Revenue & Customs with a view to achieving an early resolution to any matters arising.

7) List of entities covered by this Tax Strategy:

  • Kiril Mischeff (Trading) Limited
  • Kiril Mischeff Limited
  • EE & Brian Smith (1928) Limited
  • W Saunders (Shipping & Forwarding) Limited
  • Good Food Wines Limited
  • Bitage Limited
  • Holme Farm Group Holdings Limited
  • EFW Limited