Japan: 2014 tax changes
Some changes to Japan’s tax law announced on 1 October 2013 were passed on 20 March 2014. The “attributed income principle” in respect of the profits of permanent establishment, as set out in the authorized OECD approach, will be adopted. The
See MoreJapan: Increased focus on transfer pricing in tax audit
Transfer pricing audits in Japan are conducted separately from the general corporate tax audits, by a specialized transfer pricing audit team within the tax authority .The 2011 revision of the tax system in Japan included changes and clarifications
See MoreChina-Japan-ROK Free Trade Zone Negotiations
On March 4 2014 the fourth round of China-Japan-ROK Free Trade Zone negotiations was held in Seoul, Korea (ROK). The chief negotiator and Assistant Minister of Commerce of China led a delegation to attend the negotiations. Delegations from Japan
See MoreJapan: Confirms Consumption Tax Rate Changes by 2015
From April 1, 2014 to September 30, 2015, the rate of Japanese consumption tax will be increased from the current 5% rate to a higher 8% rate. The government is also considering a further increase from 8% to 10% from October 1, 2015. Also under
See MoreSweden: Protocol to DTA with Japan signed
The Policy Research Institute of Japan's Finance Ministry confirmed on December 5, 2013 that the governments of Japan and Sweden have signed a Protocol amending the current tax treaty. The main changes are: expansion of the scope of exemption of
See MoreJapan Studies Corporate Tax Rate Cut for Growth Strategy
Japan's Prime Minister is looking again at lower corporate taxes to provide a new impetus to growth in the economy. The Finance Minister has however again cast doubt on whether such a policy is viable at the present time. In a meeting of the
See MoreJapan- Main corporate income tax rate
A reconstruction surcharge of 2.55% applied in 2013 but does not apply after 1 April 2014.The effective corporate tax rate taking into account the local enterprise tax and local inhabitant tax will therefore be reduced to 35.64% (previously 38.01%)
See MoreJapan-Oman: Sign DTA
Japan has signed a Double Taxation Agreement (DTAA) with Oman on 09 January 2014. The agreement provides a 10% withholding rate on dividends (5% with a 10% shareholding), interest and royalties in the source
See MoreTreaty between New Zealand and Japan entered into force
The double tax agreement (DTA) signed between New Zealand and Japan on December 10, 2012, will become effective in New Zealand, for withholding taxes from January 1, 2014, and for income taxes for income years beginning on or after April 1, 2014.
See MoreProtocol to treaty between Belgium and Japan
For the entry into force of the Protocol amending the Double Taxation Agreement (DTA) between Japan and Belgium, mutual notification procedures were completed on 27 November 2013. The Protocol will enter into force on December 27, and in the case of
See MoreJapan – Signing of the Protocol Amending Tax Convention with the United Kingdom
Japan and the United Kingdom Signing of the Protocol Amending Tax Convention with the United Kingdom on 17 December 2013 which amending the current income tax treaty between the two countries. Before it enters into force the Protocol must be
See MoreJapan – Tax reform proposals for 2014
Recently, Governments of Japan agreed on “outline” of tax reform proposals for 2014. On 12 December 2013 among the tax measures in the tax reform plan affecting corporations are provisions that would: • Decrease the current corporate tax rate
See MoreJapan – Early repeal of special reconstruction corporation tax
The Japanese government has announced an economic stimulus package that includes a statement that “special reconstruction corporation tax (i.e., a 10% additional tax imposed on corporation tax liability) would be repealed a year earlier than
See MoreJapan: Amendments of Tax Treaty Protocol with Sweden has been Signed
It has been published on 5 December 2013 that the governments of Japan and Sweden have signed a Protocol amending the current tax treaty between the two countries. The main amendments are as follows: ・Expansion of the scope of exemption of taxes
See MoreJapan: tax reform outline announced
The Japanese government has officially decided to increase the rate of consumption tax from the current 5% to 8% with effect from 1 April 2014. It has also delivered a five-trillion yen (US$50B) economic stimulus policy that aims to alleviate
See MoreJapan: Changes to consumption tax and corporate income tax
The Japanese government officially announced on 1st October 2013 its plan to modify “consumption tax” and “corporate income tax”. The highlights of the plan are summarized below: Consumption tax: In the period between 1 April 2014 and 30
See MoreOECD: Welcomes Japanese tax increase
Recently, the Secretary General of the Organization for Economic Cooperation and Development (OECD) has welcomed the announcement by Prime Minister on 7 October 2013 that, the nation will increase its consumption tax from its current 5% levy to 8%
See MoreJapan: Published Fiscal Incentive Package
Japanese Prime Minister has confirmed on 4 October 2013 that, the Government is to provide a fiscal stimulus package to counteract the declining effects of a 3 percent consumption tax rate rise due next year. He also disclosed on 1st October
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