The Group Tax department is responsible for ensuring that the Deutsche Telekom Group pays taxes at the national and international level in accordance with the applicable laws. This includes the Group’s income taxes, which must also be regularly reported in our IFRS financial statements, as well as VAT and income tax on salaries payable within the context of customer transactions and for Group employees.
Group Tax also ensures that the Group has an efficient tax structure within the framework of German and foreign tax laws as applicable in each country (avoidance of any unnecessary tax burden not prescribed by law). The goal is to achieve sustainable tax efficiency for the Group, for which Group Tax regards transparent, trust-based cooperation with local tax authorities as essential, e.g., in the context of company reorganizations that are advisable in business terms.
In addition, Group Tax undertakes to contribute as much as possible to the success of Deutsche Telekom’s operations, e.g., by providing detailed advice regarding new business models or innovative technological developments. In such matters, it focuses particularly on clarifying upfront any unresolved tax law-related issues as well as providing practical solutions to meeting all applicable tax requirements.
The tax strategy – Tax Compliance, Sustainable Tax Efficiency, Tax as Valued Business Partner – has also been adopted by the Deutsche Telekom Board of Management.
You can find out more about what Group Tax does, its principles, and its approach to responsible tax practices in this related document.
Deutsche Telekom participates in initiatives intended to develop a comprehensive approach to determining and publishing meaningful information about tax payments by enterprises and groups. The aim is to give a full and differentiated view of the various contributions to the financing of the public domain that are made in connection with or otherwise result from enterprises and entrepreneurial activities. In this context, Deutsche Telekom determines “Total Tax Contribution” for the main European Group companies in the telecommunications sector. This approach is explained in more detail in the attached document on Total Tax Contribution, which also contains the respective information relating to Deutsche Telekom. Deutsche Telekom also intends to determine and publish such information for the coming years.