Tax contributions are a key part of the positive social and economic impact made by business. The growth of tax havens and unethical corporate tax conduct have become prominent concerns across the world. Aggressive tax avoidance negatively distorts national and local economies and undermines the ability of responsible business to compete fairly, both domestically and internationally. Recent research has found that the UK loses an estimated £17bn in corporation tax revenues as a result of profit shifting alone (where firms exploit gaps and mismatches in tax rules to artificially shift income and profits to low or no-tax locations).
Via our Fair Tax Mark accreditation scheme, we seek to encourage and recognise businesses that pay the right amount of corporate income tax at the right time and in the right place. Businesses approach us for accreditation because they want to demonstrate to stakeholders that they meet the gold standard in responsible tax conduct. As with Fairtrade and the real Living Wage, responsible businesses can take the lead by voluntarily showing commitment to best practice now.
It’s no surprise that when we launched, back in 2014, most of our accreditations were for social enterprises – the social mission means there’s already an understanding of the vital contribution tax makes to our society. We are proud to now have many social enterprises accredited, such as Richer Sounds, Energy4All, The Co-operative, Leeds Building Society, Ethical Property, Jerba Campervans, Unlimited Potential, Unicorn Grocery, Ethical Consumer and Suma. Other businesses accredited with the Fair Tax Mark include large private firms and FTSE-listed multinationals.
Another of our Fair Tax Mark accredited social enterprises is London-based Clean for Good, the first cleaning company to gain certification. Their new MD, Charlie Walker said “Clean for Good’s mission as a business is not only to deliver great cleaning services, but also to do so in a way which is fair, dignified and socially responsible. We’re delighted to have been awarded The Fair Tax Mark – an independent confirmation that our approach to paying tax is transparent and fair. Corporation Tax pays for essential public services and so that is something to be proud of.”
Charlie will be speaking at our Social Enterprise UK webinar ‘Benefits of Fair Tax Mark accreditation & how it contributes to social and economic good’ on Thursday 24th March.*
We will talk about what is involved in the accreditation process, the benefits of gaining the Mark and how it can contribute to your goals as a social enterprise. You will hear first-hand from an accredited social enterprise and find out why they found the accreditation process valuable.
Find out more about the Fair Tax Mark and how to get accredited.
*This event is for Social Enterprise UK members only – click here to find out more about SEUK membership