TokyoAdvisory Inc.

 Professional Best Partner in Japan  

Let's start business in Japan with us!
Here is the information that you should know.
Which structure you should choose?                     

 Type Subcidiary Branch office Office
 sales activity permited permited not permitted
 Borrowing

 Iinterest is deductible

Note: 'Thin Capitalization' rules

Iinterest is not deductible -
 Annual administration Annual shareholders meeting

 No annual procedure.

Registration is required when registered items of the head office is changed.

 
 Tax Return Submit by the subsidiary No requirement to the parent company. Submit by the branch with the accounting reports prepared by the head office for worldwide bases. 
 Director Necessary at least one representative director who is a resident of Japan  

 Local tax

(capital per levy)

 Depending on capital amount etc

 Disadvantage

(If the capital amount of the head office is huge.)

 
 Loss of starting up Cannot setoff by the parent company Can setoff by the head office 
 Registration Is needed Is needed Is not needed
 Bant account Can open Can open Cannot open
 Lease conract Can take out Can take out Cannot taek out

 Fillings to tax office

 are needed are needed are needed

[email protected]   for further information and helpful advisory.