SK ecoplant transparently and faithfully fulfills its tax obligations in accordance with the laws of each country in which we conduct business activities. By establishing policies based on international taxation and the guidelines of the OECD and the BEPS Project (for preventing base erosion and profit shifting), we thoroughly manage and supervise tax avoidance in transactions between our affiliates, thereby preventing any unfair advantage utilizing the differences in tax systems and laws between countries. We secure transparency by disclosing tax-related information, including effective tax rates, to all stakeholders through audit reports and sustainability reports.
We are establishing tax strategies to minimize possible risks by continuously monitoring domestic and foreign tax laws that are amended every year. All our domestic and overseas business sites have their tax report data evaluated annually during the financial audit by a certified third party, receive tax adjustment consulting from an external certified tax agent to avoid tax evasion, and accurately estimate and pay their tax liabilities according to the tax laws and the statutory rate of each country. SK ecoplant is promoting integrated tax payment with its subsidiaries to prevent tax evasion and ensure efficient tax payment. In particular, we plan to minimize the related risks by strengthening our tax strategy to fundamentally prevent illegal issues, such as tax avoidance, following the increase in the number of our subsidiaries and the expansion of our global business. In addition, we plan to establish a management system to minimize tax risks by utilizing artificial intelligence (AI) and data technology (DT) amongst the technological innovations of Industry 4.0 and the rapidly changing business environment.