Responsible tax
The LEGO Group is committed to adhering to the most ethical business practices and remaining transparent to all stakeholders. We recognise the taxes we pay and the jobs we create are important parts of our contribution to the societies in which we operate.
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We aim to:
- Ensure we pay our fair share of taxes supporting the communities in which we operate
- Proactively manage and mitigate tax risks and maintain a high quality of tax compliance processes
- Engage with policymakers, authorities and interest groups to support transparent and responsible tax practices

Building our responsible tax practices
In 2021, we made our Tax Strategy internally available in more languages and provided training to create awareness amongst employees. A new reporting framework on the execution of our Tax Strategy was implemented, along with a new Tax Risk Management System. This allows us to better monitor and mitigate existing and emerging tax risks.
We are focusing on increased tax transparency and how tax frameworks impact and contribute to the execution of new environmental policies. This includes engagements with the European Business Tax Forum and several external events where we share our views on how tax contributes to achieving environmental policy ambitions.
In the past year, we also worked closely with tax authorities, including the Danish and Australian Tax Authorities’ respective cooperative compliance programmes, as well as the OECD’s ICAP (International Compliance Assurance Programme).

Total Tax Contribution (TTC)
To further distinguish our contribution, we divide it into five distinct categories, including:
- Profit taxes: including taxes on the LEGO Group’s profits as well as withholding taxes on payments to third parties
- People taxes: including taxes and social security contributions
- Product taxes: including indirect taxes on the production and consumption of goods and services, including VAT and sales tax, customs duties, insurance premium tax, etc.
- Property taxes: including taxes on the ownership, sale, transfer or occupation of property
- Planet taxes: taxes, duties and contributions levied on the supply, use or consumption of goods and services that are considered to be harmful to the environment
