Tax policy & transfer pricing
Here we set out our approach on two issues related to our economic performance which may concern some stakeholders.
Tax policy
Our Code of Business Principles requires all Unilever companies to comply with the laws and regulations of the countries in which they operate, and this applies just as much to taxation as to any other issue. Our Code also encourages our businesses to represent their views on the formulation and administration of tax laws, either directly or through trade associations and similar bodies. In order to create and preserve value, we will seek to minimise our tax liabilities while complying with all applicable laws.
Transfer pricing
National governments are concerned about how multinational companies account for the value of sales between their operating subsidiaries, as 'internal' prices can be set artificially low to reduce profits in high-tax countries. Our worldwide policy is based on the 'arm's-length' principle, in keeping with guidelines developed by the OECD.
