Centerplate Europe Limited
UK Tax Strategy for the year ended 31 December 2017
This publication sets out the UK tax strategy for Centerplate Europe Limited (“Centerplate Europe”) and its UK subsidiaries, as required by the UK legislation set out in schedule 19 of Finance Act 2016.
Tracing its roots to 1929 with Corporate Executive Offices in Stamford, CT, Centerplate, Inc. (“Centerplate” or the “Company”) serves as a leading provider of event hospitality services to premier sports facilities, convention centres and entertainment venues across North America, the U.K. and Spain. Centerplate’s primary services include: food and beverage / catering services, speciality retail management and design services. Centerplate is an integral partner to clients across a broad list of end markets, including: professional sports, convention centres, college athletics, ski resorts, minor league sports, attractions, and theatres, among others.
The foundation of the Company’s strategy is partnering with clients to create a unique, customer-specific, branded hospitality experience. This approach not only drives same venue sales growth for Centerplate, but also improves the consumer experience at the venue, which can translate into increased sales for clients. The collaborative, customised strategy, which drives clients’ overall business and builds strong brands, has differentiated Centerplate from its competitors and has helped the Company forge deep relationships with its well-diversified client base. Importantly, these client relationships are supported by long-term, exclusive, primarily non-cancellable contracts, which provide a predictable and stable stream of revenue.
As a testament to Centerplate’s industry-leading event hospitality offering, the Company has hosted many of the world’s most recognized events, including Super Bowls, World Series, and the U.S. presidential inaugural balls.
Centerplate’s Group operations are supported from a number of countries, including the U.K. We endeavour to ensure the integrity of all reported tax numbers and to ensure compliance with all our tax obligations on a worldwide basis. We engage professional advisors to provide support in aligning our intra-group transactions to the internationally recognised arm’s length principles.
Centerplate’s approach to risk management and governance
Centerplate’s approach to risk management and governance arrangements in relation to UK taxation, tax management and governance is delegated to the Vice President (VP) of Taxation and the VP of Finance – Europe, who is based in the UK, by the Group Chief Financial Officer (CFO).
We have a centralised approval process in relation to tax payments. All UK corporate tax returns are prepared by an outside service provider alongside the local finance team, who all have recognised professional qualifications, and ultimately reviewed by the VP of Taxation and VP of Finance – Europe before submission. All other tax returns are prepared by suitably qualified members of the local finance team and reviewed prior to submission.
Key tax matters are discussed with the Group Board on an annual basis, or more frequently as required, and all material tax risks are disclosed in the UK statutory accounts and the statutory filings of Centerplate.
Taxation is considered at all stages of the ongoing financial management process. Should an issue be identified or where tax risks require remediation, action is taken by the VP of Tax under the oversight of the CFO, including an assessment of whether it would be prudent to employ the services of an external professional advisor. We will also seek professional advice on tax matters where needed to support the knowledge of the local and group teams.
Centerplate’s attitude towards tax planning
Tax is one of the factors we consider when making business decisions, but the tax consequences follow the commercial transactions. At Centerplate, we do not undertake transactions driven solely by a tax planning purpose.
Level of risk in relation to UK taxation that Centerplate is prepared to accept
Consistent with our attitude to tax planning, we consider that our appetite and tolerance for tax risk in the UK is low.
We seek to take advantage of any available elections or allowances and where the opportunity to make a tax saving is identified any such opportunity is evaluated by the VP of Taxation, VP of Finance – Europe and the CFO and reviewed by the Group Board. We strive to have an efficient tax structure, with minimal tax exposure, and seek professional advice and board approval for our transfer pricing positions, to ensure alignment with the arm’s length principle.
Centerplate’s approach towards our dealings with HMRC
Centerplate has historically had only infrequent interactions with HMRC.
However, when approached by HMRC for any tax queries, we aim to adopt an open and transparent attitude to resolve matters and reach agreement to achieve certainty on our tax positions in a collaborative and efficient manner.
This tax strategy applies to Centerplate’s UK sub-group / company in compliance with the corresponding paragraphs (detailed below) under Schedule 19, Finance Act 2016 and has been approved by Hadi K Monavar as the Group CFO for the year ending 31 December 2017.
UK sub-groups under Para 19(1):
- Lindley Catering Limited (Head of sub-group),
- Centerplate UK Limited, K&S (408) Limited EBT Trustee, Lindley Catering Investments Limited, Stadia Catering Services Limited,
- Heathcotes Outside Limited, Heathcotes Stadia Catering Services Limited,
- Heritage Portfolio Limited, Heritage Hospitality (Scotland) Limited, APAN Limited, Portfolio catering Limited
UK companies under Para 22(1)
- Centerplate ISG Limited
Date of publication: 31/12/2017
For any queries, please contact
Matthew Harper VP of Finance – Europe
+44 (0)1782 222000