BENSONSFORBEDSHOLDCO LTD (company number 12528956) is the parent company of two companies (1) BENSONSFORBEDSRETAIL Ltd (company number 12528962 “BBR”) and (2) BENSONSFORBEDSMANUFACTURING LTD (company number 12683167 “BBM”) that retails and manufactures beds within the UK (“Bensons”). Retail outlets operate under the trading name Bensons for Beds.
Bensons has a Tax Risk Management Framework to align the group’s approach to tax management and tax risk.
Bensons ensures its compliance with this framework by paying the right amount of tax, in the right place, at the right time.
Bensons considers this publication meets the requirement of paragraph 16(2) Schedule 19 of the Finance Act 2016 to publish its UK tax strategy. This strategy relates to the financial year-ended 30 September 2023.
Tax Risk Management
Tax considerations impact all Bensons’ commercial operations - corporate business taxes arising from financial performance, VAT and customs duties on the products we buy and sell, employment tax responsibilities as a consequence of paying staff we employ, or property taxes on the premises from where we trade.
Bensons in-house tax function plays a role in all aspects commencing with planning and reviewing change proposals to implementation and notifying HMRC through tax returns and reports.
The Bensons Board is ultimately accountable for the management of tax risk. The Chief Financial Officer holds responsibility for tax accounting arrangements, while day-to-day responsibility for the management of Bensons’ tax risk rests with the Bensons Tax Manager.
Bensons’ Tax Manager has a clear reporting channel to the Chief Financial Officer and Bensons’ Audit and Risk Committee. A tax compliance status report is presented each quarter, with significant or material matters being reported to the Board.
Minimising Bensons’ tax risk relies heavily on the accounting systems and controls in the underlying businesses. The Bensons Board is accountable for implementing and monitoring these systems and controls, delegating day-to-day management to the Chief Financial Officer and accounting teams.
The Internal Audit team regularly assess and test these controls and reports to the Audit and Risk Committee meetings on a quarterly basis. The Group businesses are required to complete and maintain risk registers which are discussed at the quarterly audit committee meetings, and in order to comply with the Criminal Finances Act 2017, businesses are required to have in place controls to specifically guard against tax evasion. External auditors provide an opinion on Bensons companies’ results on an annual basis, which includes tax amounts and disclosures.
Bensons’ appetite for tax risk is low and it structures its affairs based on sound commercial principles.
Tax considerations can have a significant impact on Bensons commercial operations. Bensons recognises its duty to stakeholders to control unnecessary costs, including taxation, so utilises tax reliefs and allowances that are available.
Efficient tax planning is engaged to support our business and reflect commercial and economic activity. Adherence to relevant tax law is a fundamental principle and we seek to minimise the risk of uncertainty or disputes.
For the purposes of UK corporation tax, forecasts are prepared for Bensons on a quarterly basis in order that an estimate can be made of the annual corporation tax due, and payments on account can be made accordingly. These forecasts inherently contain estimates, particularly with regard to future trading forecasts, but are put together with the support of all relevant underlying business areas to ensure that they are as accurate as they can be.
Professional opinions are sought from reputable external advisers on matters where the amount of tax involved is significant and the tax treatment uncertain.
Dealings With Tax Authorities
We maintain an active and transparent dialogue with tax authorities such as HMRC, disclosing all relevant facts and circumstances in a timely manner. Where relevant, we will use tax clearances to obtain agreement in advance from tax authorities prior to undertaking transactions.