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Corporate Taxation Policy


Dow seeks to be the most innovative, customer-centric, inclusive, and sustainable materials science company in the world. Our goal is to deliver growth and best in class performance. Our headquarters in Midland, Michigan is not only our home, but also remains the heart of our global company of 104 manufacturing sites in 31 countries. We pay significant taxes around the world, contributing to all the communities and countries in which we operate. We take our obligations seriously, and pay substantial income taxes, sales taxes, value added taxes, excise taxes, property taxes and other taxes and duties to local, state, and national governments.

Dow's Policy Position

Dow’s policy is to be lawful, ethical, and socially responsible in all our business practices. We take seriously our obligations to our shareholders, employees, and the communities and jurisdictions in which we operate, and we are guided by the following principles.

  • Economic Substance. Dow’s business operations and the demands of the market determine where we operate in the world, where our profits are earned, and where we pay taxes. We undertake transactions for commercial and business purposes. We do not use so-called tax havens or transfer value to low-tax jurisdictions for tax avoidance purposes. We interpret tax laws and regulations with an understanding of the underlying policy and commercial transactions that drive those laws and regulations. This philosophy governs our approach not only to transactions between Dow and third parties, but also transactions between companies within the Dow group, which are based on the arm’s length standard in accordance with applicable law and OECD principles.
  • Compliance and Reporting. Dow is committed to the highest level of tax compliance and reporting. We place a strong focus on compliance with tax laws and regulations, analyzing each to understand the underlying policy in each country Dow operates. We apply that understanding to Dow’s global business activities to ensure that our filings comply with the letter and spirit of tax laws.
  • Governance and Risk. We have committed the necessary resources to ensure that we are governed by the highest ethical standards and deliver value to Dow and its shareholders. Our global tax organization is led by our Chief Tax Officer, who is based in Midland, and consists of approximately 200 experienced accountants, lawyers, and other qualified tax professionals across the globe. We seek the advice of outside tax counsel and consultants when necessary. We adhere to strong internal controls and procedures that govern our tax processes and lower our risk profile. Our global tax policy and strategy are subject to review by senior management with oversight from the Audit Committee of the Board, and the Audit Committee meets at least annually with senior management to review and approve the policy. Our operations are also subject to constant scrutiny by external auditors and tax authorities around the world.
  • Relationship with Tax Authorities. Dow seeks to establish and maintain productive and cooperative discussions with tax authorities, based on a good faith disclosure of the relevant facts and circumstances relating to Dow’s transactions and operations. Tax laws are highly complex, and if our interpretation of the law differs from that of the tax authority, we seek to resolve those differences in a professional and timely manner, or pursue dispute resolution, if appropriate.
  • Pro-Growth, Fair Tax Policy. We believe that good tax policy fosters economic stability and better lives for people around the world. We advocate for fair, pro-growth tax policies that establish and maintain competitive tax rates with a focus toward simplifying and harmonizing tax laws around the world. We advocate for these policies on our own behalf and through trade organizations.

Last revised June 2023