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Tax policy

06/14/2016 - 04:15 PM

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In Telecom Italia Group the management and conduct concerning tax payment is inspired by the principles provided by the Group’s Code of Ethics and Conduct.

The Company commitment is implemented by the Tax Department, reporting to the Chief Financial Officer, whose principal task is the management of taxation operations. This mainly includes:

  • the tax compliance, either in terms of direct execution, or in terms of supervision;
  • the tax advisory support  to Telecom Italia Group operations;
  • the defense of Telecom Italia Group companies, in case of tax litigations;
  • the optimization of the tax burden;
  • the active contribution to the technical discussions, at international level and in front of international bodies and institutions,  in the field of tax policy matters (both the general, and the  industry-related ones).

In general terms, Telecom Italia believes that full transparency towards financial administrations is part of their duty as a tax-payer, also in terms of social responsibility.

At the same time, Telecom Italia believes that full compliance with tax obligations, by all companies competing on the various markets, is not only the duty of all tax-payers, but also a necessary condition for consolidating a context of fair competition, between companies that confront each other, and compete, on the same markets.

The commitment to transparency is reflected in all the operations conducted by the Telecom Italia Group regarding fiscal matters, in the terms shown below.

Specifically, Telecom Italia’s Tax Department:

  • is characterised by a non-aggressive approach aiming to achieve the optimization of the tax burden by means of full cooperation and transparency with the tax authorities, also by means of preventive tax rulings and the adoption of enhanced cooperation, or cooperative compliance plans with the Tax Authorities (when such plans can be activated);
  • is committed to guarantee a thorough compliance to all tax rules and laws;
  • is committed not to set any companies located in tax heavens;
  • is committed not to make any use of schemes or plans for tax avoidance
  • is committed to prevent the risk that a Group company can be unwittingly involved in fraudulent activities carried on by third parties, with potential tax consequences  for which a Group company might  be held responsible

Moreover,Telecom Italia Tax department on one side communicates our tax policies inside the Group while on the other side monitors and mitigates the fiscal risks which might arise with respect to tax activities.

In this perspective, tax activities are included in the Group’s general risk control systems and procedures, as well as in audit and compliance general activities and programs.

The Company regularly reports on its tax activities and expenses in its Annual Reports.

Telecom Italia Group  - Income taxes cash out 2013 - 2015  (Euro/millions)
  2013 2014 2015
Telecom Italia S.p.A. – Total amount 759 352
253
Business Unit Brasil 112 112 60
Other companies -8 15 50
Telecom Italia Group – Total amount 863 479 363

Telecom Italia Code of Ethics

The Code represents our charter of values, and provides the body of principles serving to ensure an ethically-oriented conduct of business, i.e. transparent, correct and fair.

Code of Ethics - Read more and download the document