Tax Strategy

Tax Policy

The IRPC Group Tax Strategy and Tax Policy have been approved and endorsed by the Board of Directors. The Accounting Department is responsible for overseeing the implementation of tax-related initiatives, ensuring compliance and effective management of tax matters.

In line with this commitment, IRPC’s tax approach is guided by the following key principles:

1. Tax Code of Conduct

IRPC aims to achieve sustainable and competitive taxation practices, fostering value and growth while demonstrating good corporate tax citizenship and creating value for society. Our principles include:

• Manage taxation for the benefits of stakeholders by paying tax properly as required by applicable laws and regulations, in both letter and spirit.
• Taxes are applicable where the economic activities that generate the profits are performed.
• Avoid risks associated with aggressive tax planning, including contrived or artificial arrangements lacking commercial substance.
• Transactions between related parties are conducted based on the arm’s length principle to ensure a fair allocation of taxes in line with our functions and business strategies.

2. Tax Alignment with Corporate Strategy and Business Objectives

IRPC pursues a tax strategy that is principled, transparent, and sustainable in the long term, while considering tax implications for investments and new transactions. Additionally, IRPC appropriately utilizes available tax incentives and exemptions for the benefit of stakeholders.

3. Tax Risk Management

IRPC identifies, manages, and reports tax risks to ensure alignment with relevant laws and regulations. We also regularly review regulatory developments to address emerging risks.

4. Tax Transparency

IRPC is committed to submitting all relevant tax information to governing authorities, enhancing transparency in tax matters, and fulfilling all statutory tax disclosure requirements.

Tax Reporting

To reinforce our commitment to transparency and corporate governance, IRPC discloses the taxes paid to Thailand—the only country in which we operate—below.

Reported tax rate and cash tax rate for the year 2024

Remark: *‘Cumulative acceptable adjustments’ will be calculated based on amounts in two of the ‘reasons’; 1. Group-wide net operating losses; 2. Single jurisdiction tax code

The lower tax burden observed during the reporting period is primarily attributable to operating losses, which resulted in reduced taxable income and consequently lower cash taxes paid. IRPC operates solely in Thailand, where the statutory corporate income tax rate is 20%. In addition, certain income is not subject to tax in accordance with Thai tax regulations, including dividends from subsidiaries under Section 65 Bis (10) of the Revenue Code, as well as tax incentives granted by the Board of Investment (BOI), which represent government financial support for qualifying businesses. These factors contribute to differences between the statutory corporate income tax rate and the actual tax expense recognized in the financial statement.