Introduction
McKesson Corporation is a global healthcare services company dedicated to creating a sustainable future for healthcare and charting a course to better health. McKesson is a distributor and retailer of medicines and medical products, and a supplier of healthcare services. McKesson partners with pharmaceutical manufacturers, providers of healthcare, pharmacies, governments and other organisations in the healthcare industry.
Our business approach is guided by our I2CARE values. I2CARE is an acronym for the values that are the foundation of our corporate culture and at the heart of all we do, Integrity, Inclusion, Customer-First, Accountability, Respect and Excellence.
This section describes our approach to the management of UK taxation matters and covers all direct and indirect UK subsidiaries of McKesson Corporation. It fulfils the requirements of FA 2016 Sch 19, Para 16(2) and relates to the fiscal year ending 31 March 2023.
Governance
We operate in accordance with internal policies which are designed to ensure our compliance with tax laws, regulations and applicable published guidance. Our primary objectives from a tax perspective are the timely and accurate filing of all tax returns and the settlement of all tax liabilities as they fall due.
Responsibility for management of our tax affairs rests with our Global Tax Team. The Team is given the resources it needs to discharge its responsibilities and employs capable staff, suitably qualified and experienced to perform their duties. The Tax Team is headed by the SVP Global Taxes, who reports directly to our Chief Financial Officer and updates the Audit Committee of our Board of Directors on a quarterly basis. The Team provides support to the Boards of Directors of our affiliates, who oversee local tax matters, on an as needed basis.
Tax risks can arise when the application of laws to a specific set of facts is unclear. We seek to identify such risks and rigorously validate our interpretation of applicable laws with support from external advisors where necessary. We make appropriate disclosure in our tax filings and discuss uncertain positions with the tax authorities in an open and transparent way.
Planning
We ensure our tax planning supports our commercial transactions and activities, while also striving to ensure our business is conducted in a tax-efficient manner. Full compliance with tax laws is a requirement for all tax planning activities. We seek alignment of taxable profits with creation of value.
We have a conservative approach to tax planning, reflecting our wish to balance the goals of shareholders and other stakeholders with our broader social responsibilities.
Relationship with HMRC
We desire an open and constructive relationship with HMRC and believe that can be best achieved by acting professionally and with integrity at all times. We see value in working with tax authorities to jointly interpret tax laws and apply them to our business results. We seek to collaborate with HMRC in a proactive and transparent manner.