Our tax policy disallows the use of opaque or artificial structures that conceal or reduce the transparency of activities. Therefore, the Repsol group undertakes the commitment to have no presence in tax havens and, if any, to be transparent in any activities performed there.
Our presence in these territories does not respond to the purpose of limiting transparency of activities or performing unlawful or undesirable practices, but rather it is guided by legitimate business reasons and follows the sector's common standards.
The definition of a tax haven or non-cooperative jurisdiction is not a peaceful matter. Many lawmakers make an effort to maintain lists of territories that, either by allowing the avoidance of taxes or by facilitating the opacity of investments, qualify as “tax havens.” Our Company considers "tax havens" those jurisdictions classified as such by Spanish and EU regulations and according to the OECD's criteria.
At the same time, some NGOs concerned with responsible business practices also prepare their own tax haven lists based on different criteria and objectives. At Repsol, we selected some of these listings, due to their public outreach or representativeness, and have classified the countries included in them as "controversial jurisdictions."
In an effort to bolster transparency, we publish important information regarding our activity in non-cooperative jurisdictions and "other controversial jurisdictions." Repsol’s presence in these territories is not relevant as its revenues are immaterial (less than 0.02% of the Group's turnover) and is not intended to conceal or reduce the transparency of its activities.
The Repsol Group has active presence in only two tax non-cooperative jurisdictions: Barbados and Trinidad & Tobago, which under no circumstances is intended to limit the transparency of its activities.We participate in the social and political debate on the equity and transparency of tax systems and the tax contribution of companies. Moreover, we maintain an active dialogue with governments, international organizations, such as the UN and the OECD, and leading NGOs concerned with these matters including Intermon OXFAM, Tax Justice Network, and Spain's Corporate Social Responsibility Observatory.
Repsol's Code of Ethics and Business Conduct, approved by the Board of Directors of Repsol, S.A., regulates our behavior model in all of our activities and operations beyond what is legally required of us.
As part of this compliance culture, we have a zero-tolerance policy regarding criminal behavior and the obligation to prevent and reduce any criminal risks the Company may face. This includes prohibiting bribery of public officials and any other type of improper payment to government entities such as the private sector, money laundering, or engaging in improper practices that may limit free and open competition.
We also have our own mechanisms aimed at preventing corruption such as our Anti-Corruption Policy, Crime Prevention Model, and System of Internal control over Financial Reporting.