For the year ended 31 December 2018
CDNetworks (“CDN”) is a global content delivery network with a fully integrated cloud security solution, offering unparalleled speed, security and reliability for the almost instant delivery of web content.
The publication of this strategy statement is regarded as satisfying the statutory obligation under Para 19(2), Schedule 19, Finance Act 2016.
Commitment to compliance
CDN is committed to complying with UK tax law, including filing accurate UK tax returns and paying all UK tax liabilities on a timely basis. Compliance for us means paying the right amount of tax in the right place at the right time, claiming reliefs and incentives where available and operating in line with the commitments of this strategy.
Global transfer pricing and intellectual property is arranged on an ‘arm’s length’ basis according to OECD principles, such that the UK share of global profits is aligned with commercial value generated here.
Attitude toward tax planning
In structuring our commercial activities we will consider – among other factors – UK laws and CDN’s tax profile, with a view to maximising value on a sustainable basis for our shareholders. All major tax decisions are properly assessed by the board.
Any tax positions adopted will have commercial and economic substance and will have regard to the potential impact on our reputation and broader goals. We will not undertake planning that is contrived or artificial.
Tax Risk Management
Given the complexity of tax obligations, risks can arise from time to time. CDN seeks to minimise the tax risk associated with its business primarily by engaging highly reputable UK tax advisors to support on compliance and provide advice on areas of significant technical change, complexity or uncertainty.
Any significant areas of risk will be escalated to the board, who maintain oversight of CDNetworks overall UK tax profile and approve tax filings and significant tax decisions. Operational UK tax compliance responsibilities are delegated to qualified and experienced professionals within the UK finance department with specialist compliance support from outsource providers. This tax strategy is approved on an annual basis and overseen by the board.
Approach to dealing with tax authorities
We engage with HMRC, with honesty, integrity, respect and fairness. We strive to always be courteous and cooperative in our correspondence and to submit all filings in a timely manner.