Introduction

PostNL’s tax strategy and policy is the mandate given by the Board of Management of PostNL to the head office department Group Tax and purports to set the strategy and policy provisions applicable for the PostNL Group, and to define and allocate the roles and responsibilities in the area of taxation within the PostNL Group.

The objective of this tax strategy and policy, which was updated in 2022, is based on the tax governance code (TGC) developed under the umbrella of VNO-NCW, which is to ensure a coherent, responsible and compliant approach towards matters of taxation in the broadest sense. Our behaviour and attitude towards matters of taxation, and the principles and procedures in connection with such matters, should always be in line with this objective. As a result, in 2023 we participated in the peer review of the TGC initiated by VNO-NCW, whereby we both acted as a reviewer of another company on compliance with the TGC and were reviewed. For PostNL, the outcome of this peer review was favourable: our reviewer agreed with our view that, for 2022, we comply fully with the TGC. We will continue to be part of monitoring initiatives.

Tax strategy and risk management

Our approach to tax is acting fully in line with our overall strategy whereby we view tax not as a cost factor only, but as a means for social economic cohesion, sustainable growth and long-term prosperity. As such, a coherent, responsible and compliant approach towards tax is considered an integral part of doing business, whereby we aim to maintain a moderate tax risk appetite.

Group Tax is mandated by the Board of Management to oversee this approach towards tax. In that role, Group Tax, inter alia, advises and supports the Board of Management on tax and acts as the central business partner on tax towards all stakeholders. Group Tax consists of specialists in direct and indirect taxes, payroll taxes, government grants, tax compliance and reporting. Our approach to tax risk management has been built on a tax control framework, which is, in its turn, part of PostNL’s internal control framework. Key ingredients of our tax risk management process are periodical tax reports that Group Tax is providing for the CFO, an at least quarterly review of our tax position and the execution of a quarterly tax risk management cycle, including (key) control execution and testing. In addition, Group Tax ensures adhering to its tax strategy and policies within the team and within the group increasing tax awareness throughout PostNL. To maintain our approach to tax we also have dialogues with governmental and non-governmental stakeholders, with industry groups and employer organizations on a continuous basis about interpretation of, and compliance with tax laws and regulations.