Japan: 2022 tax reform legislation passed

Tax measures in the 2022 tax reform legislation

Tax measures in the 2022 tax reform legislation

The Japanese Diet on 22 March 2022 passed the 2022 tax reform legislation.

The tax measures in the 2022 tax reform legislation concern:

  • Corporate tax
    • Tax credits for acceleration of “substantial salary increases”
    • Limitation on companies eligible for special tax measures
    • Japanese group tax relief
  • International tax
    • Special provision for the reduction of book value of shares in subsidiaries
    • Earnings stripping rules
  • Tax administration
    • Electronic preservation system for account books, etc.
    • Reporting requirement for assets / liabilities and overseas assets

Read a March 2022 report [PDF 178 KB] prepared by the KPMG member firm in Japan

 

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