UK Tax Strategy

UK Tax Strategy - Year ended December 31, 2024

This statement sets out Vishay Intertechnology, Inc.’s UK sub-group (“Vishay”1.) UK tax strategy as required under paragraph 19(2) under Schedule 19, Finance Act 2016 and as reviewed and approved by the Board of Siliconix, Inc. on December 20, 2024 for the year ending 31 December 2024.

Introduction

Vishay is a leading global manufacturer and supplier of discrete semiconductors and passive components. Semiconductors include MOSFETs, diodes, and optoelectronic components. Passive components include resistive products, capacitors, and inductors. Discrete semiconductors and passive components are essential elements of virtually every type of electronic circuit. They support the microprocessor chips and other integrated circuits that coordinate and control the functions of electronic devices and equipment. We offer our customers "one-stop shop" access to one of the most comprehensive electronic component product lines of any manufacturer in the United States, Europe, and Asia.

Vishay’s UK sub-group provides sales services and distribution for UK customers and research and development support for related Vishay entities. It also includes a semiconductor wafer fab which sells semiconductor wafers to both related and unrelated parties.

Risk Management and Governance in Relation to UK Taxation

Responsibility for Vishay’s tax strategy and the management of its tax risks, along with the supporting governance, rests with its Chief Financial Officer under the direction and supervision of the Chief Executive Officer, and is overseen by the consolidated group’s Board of Directors. Vishay has tax policies and controls in place to implement the strategy and manage risk, which are monitored by Vishay’s global tax team and regional financial personnel.

We endeavor to ensure the integrity of our reported tax numbers and to be in compliance with our tax obligations wherever we operate. Where a tax position or the tax consequence of a transaction is uncertain, Vishay may obtain third party advice to support the tax position ultimately taken in an attempt to minimize the risk assumed. Our tax strategy is subject to ongoing review by the CFO and team, under the direction and oversight as above, in the changing global tax environment.

Tax Planning in Relation to UK Taxation

We seek to minimize the risk of uncertainty and tax disputes. We do not enter into any artificial tax planning strategies but we will consider the most tax efficient structure for a business transaction which is driven by commercial needs to ensure we minimize the risk of uncertainty. The benefits of available tax reliefs and incentives are evaluated and are only considered if they align with our commercial needs.

We seek expert advice from our accountants, tax advisors, and legal counsel to ensure compliance with relevant and regulations, including where there are any areas of uncertainty.

Level of Risk in Relation to UK Taxation

There are no formal limits established for acceptable risk levels but we consider that we have low tax risk tolerance. We aim to be compliant with our responsibilities and when needed we will seek expert advice on specific tax issues that we are not able to handle internally. We will only take a tax position if that position is more likely than not to be allowed under the applicable tax law and our stakeholders trust us to handle our tax matters independently and without any undue influence.

Approach to Dealings with HMRC

Vishay seeks to comply with its tax filing, reporting and payment obligations in a timely, accurate and transparent manner. This includes disclosing documents and information as requested in all communications with taxing authorities, including HMRC. On several occasions, we, through a third party acting on our behalf, have approached HMRC in advance of a transaction in order to gain clarity and avoid any dispute at a later date. Our relationship with HMRC is managed through open and professional communications with HMRC where appropriate, which would be managed through our Chief Financial Officer.