The Japanese general tax anti-avoidance rule

September 20, 2010  |  basics, Latest  |  No Comments

Lanterns in the shrine of Kasuga Taisha, in Nara central Japan.

Japan has a very broad general tax anti-avoidance rule that can be applied to certain defined classes of company (referred to below as ‘Anti-Avoidance Rule Companies’ or ‘AAR Cos’).  This is Article 132 of the Japanese Corporation Tax Law.

The scope of the companies to whom this rule can apply Read More

Japanese withholding tax; legal outline and concepts

September 19, 2010  |  Latest, Withholding tax  |  No Comments

A colorful Japanese manhole cover from Matsumoto in Nagano

This article is the first in a series that outlines the structure, target income and administration of the Japanese withholding tax system.  These articles will form a foundation for understanding more complex Japanese withholding tax issues arising in an international context.

Japan has an extensive system of withholding taxes (‘WHT’) imposed on different types of income.  Read More

Information exchange under Japan’s tax treaties

September 15, 2010  |  International Taxation, Latest, Tax Treaties  |  No Comments

A colorful display of Japanese kanji

An objective of Japan’s 2010 tax reform program has been the extension of the network of tax treaties that allow Japan to exchange taxpayer information with tax authorities in other jurisdictions.  Such extension should be of help in allowing Japan to more effectively pursue international tax evasion.

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