We are strongly committed to managing our operations in a responsible way and to making a positive contribution to the societies in which we operate.
We want to create long-term value through growth, customer experience and positive impact on people and the planet. The tax we pay is an important part of our wider economic and social impact.
Ingka Group pays taxes in accordance with laws and regulations, wherever we are present as retailer or in any other role.
In FY18, corporate income tax amounted to EUR 634 million globally, which equals an effective corporate tax rate of 30.0% (24.9% in FY17). In FY18, our total tax bill including other taxes and duties, such as property taxes, environmental taxes and customs duties amounted to approximately EUR 1,081 million.
Over the last five years (FY14– FY18), corporate income tax and other taxes amounted to approximately EUR 7,263 million. In addition, we collected substantial tax amounts on behalf of governments, such as VAT and employee taxes.
Over the years, we have had strong development and created tens of thousands of jobs, directly in our stores and warehouses, and indirectly with our external suppliers, which in turn generates taxable income. We continuously invest throughout our business, in stores, shopping centres, distribution centres, and lower prices to our customers.