This document, approved by Maybank’s Audit Committee of the Board sets out Maybank’s (including subsidiaries and overseas branches) tax policy and approach in conducting its tax affairs and dealing with tax compliance risk for the financial year ending 31 December 2020.
The document is reviewed periodically by Group Tax and any amendments will be submitted for approval by Maybank’s Audit Committee of the Board subsequently.
1. Key principles
Maybank is committed to conduct its tax affairs based on the following principles:
2. Tax Governance
The Finance team in each entity are responsible in ensuring timely tax compliance.
Maybank Group Tax will work together with the Group’s businesses and finance departments to provide advice and guidance to ensure compliance with the tax regulations and business decision making is commercially justified.
Businesses and Finance Department would seek input from Maybank Group Tax (“Group Tax”) on:-
In addition, Group Tax must be involved in the planning, implementation and documentation of any business or share acquisitions and disposals, changes in corporate structure, significant business transactions, new cross-border intra-group trading arrangements and selection of tax advisors.
3. Attitude to tax planning
Maybank will utilize tax incentives and reliefs to minimize the tax costs of conducting its business provided that they are aligned with intended policy objectives of the Governments which introduced the incentives; supported with genuine commercial activity and consistent with the business and/or operational objectives.
4. Management of tax risks
Written advice will be obtained from external advisors to support decision making process where there is uncertainty to the application/ interpretation of tax law; and /or the transaction carries substantial reputational, monetary or regulatory risk.
Any changes in relevant tax laws and practices are monitored through regular updates from external tax advisors, discussions/ dialogues with the professional bodies and relevant tax authorities and participation in seminars/ conferences.
Group Tax has the right and responsibility to determine the technical position to be taken by Maybank in relation to tax matters.
From time to time, our position may differ from those of the tax authorities with regards to the appropriate tax treatment. Where such circumstances arise, Maybank will work constructively and proactively with the tax authorities with a view to achieving an early resolution to any matters arising.
Depending on the degree of risks and/ or nature of the transactions involved, tax action/ decisions will be referred to the relevant Board of Directors and Audit Committee of the Board for approval and guidance.
The subjective nature in the interpretation of tax laws and various tax rules makes it impossible to fully mitigate all tax risks. Therefore we endeavor to keep tax risks to a minimum and do not set limit on acceptable risks.
We seek to manage our affairs consistent with our tax strategy principles and will refer to the Board of Directors/ Audit Committee of the Board for guidance where required.
5. Relationships with tax authorities
Maybank seeks to:-
The Group consider the above statement as complying with the duty under paragraph 22 (2) of Schedule 19 of the UK Finance Act 2016 to publish the group tax strategy in the current financial year.
 Malayan Banking Berhad is the holding company for Maybank Group. This strategy has been adopted by all branches and subsidiaries including Malayan Banking Berhad (London Branch) and Maybank Kim Eng Securities (London) Ltd.