Woori Financial Group Tax Policy

 



We have made it a principle and a rule to fulfill our obligation to file and pay taxes accurately and faithfully in accordance with the laws and regulations of the countries in which we operate our business. We strive to fully comply with both the letter as well as the spirit of the law in all the countries where we operate. To that end, we maintain a cooperative and constructive relationship with tax authorities, set and operate criteria for the management of diverse tax risks, and disclose information on our tax payment transparently.

□ Tax Principle

• We hereby recognize that compliance with the tax laws and adequate management of tax risks are important aspects of management. • We shall faithfully report and pay taxes in accordance with all relevant domestic and overseas tax laws related regulations • We do not exploit value created in low tax jurisdictions by utilizing the differences in tax policies between countries for the purpose of tax evasion • We do not operate a legal entity for tax avoidance purposes in tax havens or secrecy jurisdictions where sharing of tax information is impossible and economic activities are not conducted. • We shall commit to undertake transfer pricing based on the arms’ length principle. • We do not conduct false transactions using tax structures without commercial substance for the purpose of tax avoidance.

□ Tax Guideline

• All materials used in the making of decisions concerning tax filing, evidential documents, and other taxrelated matters shall be kept in a document format. • We shall continue monitoring amendments to tax laws and new tax-related rules/legal precedents, and shall review relevant tax risks in advance so as to be able to cope with them. • Decisions on tax-related matters shall be made after considering the professional opinion of external tax experts, if required. • We shall address our inquiries concerning complex and important tax matters to the tax authorities first of all in order to obtain their authoritative interpretation.

□ Tax Report

• Information on our payment of taxes is disclosed transparently in the audit report at the Finance Supervisory Service’s electronic disclosure system (dart.fss.or.kr) in the Republic of Korea, and in the annual report of the Securities and Exchange Commission (SEC Form-20F) in the United States. • We shall arrange the information on the criteria for the calculation of income tax expenditures, deferred income tax liabilities/assets, details of income tax expense items and tax rates, etc. in such a way that it can be ascertained from the financial statements and notes of the external auditor’s audit report, and to guarantee the transparency and objectivity of the external audit. • We shall submit to the tax authorities an integrated report containing information on our international transactions under the OECD and G20 guidelines for the prevention of Base Erosion & Profit Shifting (BEPS) and the Adjustment of International Taxes Act. • We shall include information on the profits earned and taxes paid in each country in our annual sustainable management report.

The foregoing Principles were adopted pursuant to review and approved by the ESG Management Committee of Woori Financial Group’s Board of Directors, and may be amended as and when required by the committee.