Tax Policy
Tax Policy
Tax Management Principles
1.Tax law compliance
SK Square complies with the spirit and the letter of all applicable tax laws and regulations of each country that pertain to our business operations and faithfully fulfills our responsibilities by accurately estimating the tax liability and timely paying all of the taxes.
2.Tax authorities cooperation
SK Square cooperates closely with tax authorities based on mutual trust to strengthen national competitiveness through progressive revision of the tax system and related regulations and procedures. Furthermore, we monitor advanced taxation systems at home and abroad and propose amendments to the relevant tax laws to reduce the cost of cooperating with society and strengthen the rationality of the taxation system.
3.Transaction transparency
SK Square fully discloses the tax information to stakeholders as part of the efforts to ensure transaction transparency. It also reports the taxes per item stipulated in the applicable tax laws through an independent accounting firm to protect stakeholders by appropriately applying and interpreting the relevant laws.
4.Arm’s length principle
SK Square applies an appropriate procedure and reasonable price to all related-party transactions. Likewise, SK Square sustains the business and investment structure by complying with all relevant tax laws and regulations and the arm’s length principles to prevent transfer pricing issues.
5.International trade obligations enforcement
SK Square is faithfully fulfilling its tax obligations in international transactions. SK Square will not conduct transactions solely for tax avoidance by utilizing taxation structures without commercial substance, such as transferring profits to countries with low tax rates or operating in a tax haven.
Compliance Principles
1.Risk management
2.Organization
SK Square has a tax department within its organization which monitors and prevents any tax compliance risks that can arise in the process of business pursuit. The tax management department assesses and manages all types of tax risks, and fully mobilizes both internal and external expertise and resources to ensure compliance.
3.Process
For compliance within rigorous tax risk assessment and management both home and abroad, SK Square has introduced a tax compliance process as the following: