Tax Strategy

Overview

Landmark Construction is a consulting firm of repute operating in Africa. This disclosure applies to all Landmark affiliates and subsidiaries.

Risk Management and Governance Arrangements in Relation to Taxation

Landmark aims to comply with all tax laws, regulations and practices applicable in its respective countries of operation in a responsible manner, and to pay all taxes due punctually. This principle is clearly set out in the Code of Business Ethics articles on financial integrity, responsibility and obedience to the law.

As with all other financial information, matters regarding taxation are reviewed on a regular basis by the Chief Financial Officers during the budget phase, during preparation of annual and interim accounts, and whenever required. CFOs report directly to Chief Executive Officers and members of the Board of Directors in accordance with functional and organizational reporting lines.

All staff involved in the preparation and management of financial data are expected to comply with the standards, principles and procedures in force, as contained in Landmark's manuals of procedure or instruction memos issued by the Financial Department.

Financial data, including tax data, is reported, managed and controlled through robust accounting systems that are constantly monitored and regularly audited. Staff responsible for these systems are appropriately trained and refreshed in line with Landmark's financial integrity responsibilities.

Corporate governance, internal audit procedures and financial reporting standards are defined through Landmark's reporting and management processes.

Landmark's Approach to Tax Planning

Landmark's business model is decentralized, based on operating autonomy and the empowerment of managers who must strictly comply with the applicable laws and regulations of the jurisdictions where they operate.

Landmark takes full consideration of tax efficiency and aims to utilize tax incentives and exemptions where they are intentionally offered in the respective country of operation to support business operations, investments, non-core operations or corporate social responsibility initiatives.

Landmark engages both consulting and in-house tax experts to establish clarity on tax issues and perspectives in its continental operations. For any tax matter, CFOs can be assisted by tax advisors depending on the subject matter and its materiality.

Landmark's overriding principle is not to engage in aggressive or artificial tax avoidance.

Landmark's Tax Risk

Given its decentralized model, there is no rigid level of acceptable tax risk for Landmark. The materiality level is assessed at each operating unit level by the relevant unit managers and, if needed, the CFO, to be appropriately reported to the Board of Directors.

Generally, Landmark faces generic tax risks that may arise because of the size or complexity of its operations.

• Tax compliance failure and associated risks, including late filing, inaccurate tax returns, failure to submit claims on time or any other compliance failure caused by human error or system failure.
• Operational tax risks, including technical or factual inaccuracies, insufficient tax analysis of business operations, unanticipated changes in tax laws, or misinterpretation of complex or unclear tax rules.
• Reputational risks that may result from financial tax exposures and affect relationships with stakeholders.