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Posted by Drop429 on January 21, 2012 at 8:40 PM Comments comments (0)

Do you know Ministry of Economy, Trade and Industry of Japan has announced projects selected under FY 2011 “Subsidy Program for Projects Promoting Asian Site Location in Japan” ?

There you will find 10 projects selected under the FY 2011 Subsidy Program for Projects Promoting Asian Site Location in Japan  as below.

 

1 DSM Japan Engineering Plastics K.K. (Netherlands)

   R&D Chemicals(Plastic)

2 Intelligent Energy Holdings Plc (U.K.)

   R&D Fuel cells

3 Medasys Japan K.K. (France)

   R&D Medical information system

4 Mikado Kyowa Seed Co., Ltd. (Subsidiary of Vilmorin & Cie S.A.)( France)

   R&D Vegetable seeds

5 NeoPhotonics Japan, Godo Kaisha (USA)

   R&D Optical communication equipments

6 Nihon Cabot Microelectronics K.K. (USA)

   R&D Materials for electronics component (Abrasive)

7 Sanofi-Aventis K.K. (France)

   Regional Head Quarters Pharmaceuticals

8 Umicore N.V. (Belgium)

   R&D Industrial chemicals (Catalyst)

9 Volvo Technology AB (Sweden)

   R&D Technology development related to automobiles

10 3M Health Care Ltd. (USA)

    R&D Healthcare products

 

On the other hand, projects adopted under the FY 2010 Subsidy Program for Projects Promoting Asian Site Location in Japan announced 5 as below.

1 salesforce.com Co., Ltd. (United States) R&D Site IT services

2 Zydus Pharma Japan Co., Ltd. (India) R&D Site Pharmaceuticals

3 Dyesol Japan Co., Ltd. (Australia) R&D Site Next-generation photovoltaic cells

4 Eurocopter Japan Co., Ltd. (France) R&D Site Special-purpose helicopters

5 Dou Yee International Private Ltd. (Singapore) R&D Site Liquid crystal displays

 

 

The FY 2011 Subsidy Program  increase twofold of the FY 2010.

 

Why?

 

In 23th Aug. 2011, METI of Japan has annouced Subsidy Program for Projects  Promoting  Asian Site Location in Japan as below.

<Eligible Companies>

Private enterprises that satisfy all of the below requirements:

1.Musthave corporate status in Japan

2.Must belong toa corporate body consisting of group companiesthat are running an actual business in 2 or more countries.

*Foreign corporations (includingbranch offices in Japan) must have corporate status in Japan by the time of the grant application if your siteis selected by this public offering.

<Subsidized Projects>

Projects that satisfy all of the below requirements:

1.The project*must developa Regional HQ**or R&DSite***in Japan

2.Therelevant headquarters’ operations or R&D activitiesmust continue for a minimum of 3 yearsafter the end of project period

3.The investment plan must not have been publicly announced prior tothe cabinet approval of the budget bill of 2011 general account(December 24th2010).

*Relocation and accumulation of sites already in Japan are excluded

**Engages in Business relating to decision making or coordination ofpolicy (itemsessential to the execution of corporate activities (sales and marketing, corporate planning, finance, personnel and training, R&D, production management, distribution, legal affairs, etc.), of aminimum of 2 controlledgroupcompanies (in 2 or more countries)

***Projects developing facilities needed to carry out R&D,such as industrialization through applied development, trials and product testing for advanced industrial technology

<Project Period>

The establishmentof the R&D /Regional HQ must be completed by the end of September, 2013from the date of the decision to grant the subsidy.

<Rate of Subsidy>

1.Subsidy rate: up toone-half for SMEs*; up toone-third for non-SMEs

2.Limit: 1 billion yen

*Corporations of which one half or more of its authorized shares are owned by large corporations are not considered to beSMEs. (Refer to the Public Offering Guidelines for the definition of SMEs)

<Subsidized Costs>

1.Survey design costs (survey and design costs needed for building, refurbishment or facilityinstallation)

2.Facilitycosts (costs required for purchasing, building or refurbishment of facilities, including integrally developed facilities)

3.Equipmentcosts (costs needed for purchasing, leasing, and setting up equipment and software)

4.Facility lease fee

(Note1) In principle, removal costs (costs to demolish existing buildings or remove existing facilities), exterior work costs, and facility constructioncosts not directly connectedwiththefacility itselfwill not apply.The same applies for survey design costs, facility costs, and facility rentalcharges.In addition, only those facility and equipment expenses which will be solely and directly used for the subsidized project will be subject to subsidy.

(Note2) Lease fees for facility and equipment will be subsidized until the end of the project period (the end of September 2013).

(Note3) Temporarydeposits (including collateral) will not apply.

 

<Criteria>

1.Basic Items

Implementation ability,eligibility of businessfor subsidy, validity of costs and work schedule, etc.

2.Uniqueness of the relevantsite

It is expected that the relevant site is new to Japan.

3.Added value of the relevantsite

Substantial investment amount and potential for employment creation, as well as incorporates of one of the following aims:

a) Regional HQ

The site is expected to besuperior in terms of the number of sites it controls, its business functions, responsibilities, andpersonnel, as well as create newlyaddedvalueinJapan.

b) R&D Site

The site is expected to besuperior in terms of innovativeness, staff, patents and know-how, as well as create newlyaddedvalueinJapan.

4.Ripple effects such as the accumulation effectthat the subsidized project is expected to have in Japan

・It is expected that there will be a strongripple effect on the Japanese economy through collaboration with domestic companies, universities or public research institutions, or an accumulation effect inthe relevantregion.

・It is expected that there will be no risk of drains of patents, technologies or inventions developed by Japanese companies, universities or public/private institutions.

・Contributionto the recovery of disaster affected areas from the East Japan Earthquake (e.g. collaboration with companies located in the affected area, location of R&D/Head site in the affected area)

5.Overseas locational competitiveness

Whether a review has been made of relocating the project overseas,whether the site has been invitedby the relevant region,whether other foreign governments operate a similar location policy,and the reason for deciding to locate the site in Japan

<Duties of Subsidized Companies>

1.Subsidized companies must report results following the completion of the subsidized project and submit a project continuity reportfor 3 years

2.The disposal, sale, or redistribution of propertyand assets acquired through the subsidy is restricted and the use of the property for purposes other than the original intentis prohibited

3.Revenue and expenditure documentation for the subsidized projectmust be preserved.

<Period of Public Offering>

Period for Acceptance of Application Form:Tuesday, August 23rd, 2011to Monday, October 31st, 2011 (no later than12:00 p.m.Japan time)

(From JETRO website)

 

Subsidy Program for Projects Promoting Asian Site Location in Japan is a mesure of Promotion to make Japan an Asian Business Center

The following incentives are applicable to new R&D and headquarters operations conducted in Japan by global companies certified by the competent minister.

(1) Preferential corporate tax (20% deduction for 5 years for certified companies)

(2) Preferential income tax (preferential tax treatment for stock options from the foreign parent company)

(3) Preferential treatment under the Foreign Exchange Act (faster investment procedures)

(4) Special exemption for patent fees (patent fees and examination request fees reduced by half)

(5) Special treatment under the Small and Medium-sized Enterprise Investment Business Corporation Act (Small and medium firms capitalized at over 300 million yen will also be supported.)

* Expedited visa examination for foreigners through supportive implementation of the system.

 

Concerning about corporation taxation, the rate has decreased 5% in 2011 tax reform.

If your company has a plan to expand your business in Japan, please think of Tokyo Advisory as the best partner in Japan.

We provide one stop advisory business survice from incorporation, accounting outsourcing, tax preparation and file, closing and reporting.

TIPS of tax reform in 2011 and 2012

Posted by Drop429 on January 20, 2012 at 2:30 AM Comments comments (0)

平成23年度税制改正は震災の影響で通年とは違った形で一部施行されていることは以前お話しました

前年11月10日、税制調査会は平成23年度税制改正のうち積み残しとなっていたもののうち、以下のように決定しました

【成立】

・法人実効税率の5%下げ

・減価償却、欠損金繰越控除、研究開発税制の見直し

・中小法人に対する軽減税率の引き下げ

・税務調査手続の法定化

・更正の請求期間の延長

・雇用促進税制

・アジア拠点化推進税制

etc...

【不成立】

・相続税の基礎控除引下げ

・贈与税の税率構造の緩和

・給与所得控除の上限設定

・特定支出控除の見直し

・地球温暖化政策のための税の導入

 

一方で平成24年度税制改正は

・給与所得控除の上限設定

・特定支出控除の見直し

・特定役員の退職所得控除制限

・贈与税の非課税措置の拡充・延長

・山林にかかる相続税の納税猶予制度創設

・相続税の連帯納付義務の緩和

・太陽光パネルや風力発言設備などの環境関連投資促進税制の拡充

・増加型・高水準型研究開発税制、海外投資等損失準備金制度の延長

etc...

 

その他、注意すべき改正項目として貸倒引当金の段階廃止や欠損金の繰越控除制度の見直し等があります

 

 

 

 

Tax in 2012 will be...

Posted by Drop429 on December 9, 2011 at 2:30 AM Comments comments (0)

平成23年度税制改正は地震の混乱もあって二つに分裂し一部のみ成立施行されました

そしてこの12月には政府は平成24年度税制改正大綱を閣議決定することになります。

税理士界から要望されている平成24年度税制改正の主な項目として以下のものがあります

 

①交際費課税の範囲の見直し、定額限度内の10%課税の廃止

②消費税の基準期間制度の廃止

③少額減価償却資産の取得価額基準を30万未満に引き上げる事

 

等です。

さらに同時に引き続き東日本震災に関連して申告期限の延長、雑損控除の繰延、被災者の手続簡便化等が要望されています。

また自動車重量税の軽減案なども浮上しており、エコカー減税の延長も検討されています

 

ちなみに今年も残すところわずかです。

所得税の確定申告の期間は例年2月16日から3月15日までとされていますが、平成23年度分から申告義務のあるものの還付請求書の提出期間が1月1日からとされました

またe-taxを開始すれば還付を受けられる金額は平成23年度分は4.000円です

(平成24年度分は3,000円)

その他法人税上は雇用促進税制として、一定以上従業員を雇用した場合に税額控除が認められたりします。

 

税に関するご相談もお気軽に

 

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