Appropriate Tax Payment
Tax policy
By understanding the spirit and purpose of taxation laws and regulations, we respond appropriately to the demands of society and aim to become a company trusted by the international community.
Action Guidelines
- We fulfill our social responsibilities by observing laws on corporate taxation and other tax laws in every country, as well as international taxation standards including the OECD Transfer Pricing Guidelines, the Action Plan on Base Erosion and Profit Shifting, and the arm’s length principle of transfer pricing.
- In order to ensure compliance with taxation laws and regulations, we work toward improving our knowledge and gaining a proper understanding of taxation and adopt an attitude of sincerity toward tax authorities to enhance our reliability and transparency.
- We properly manage taxation risks by working toward appropriate declaration and payment of taxes in each country, thereby enhancing shareholder value.
- We never engage in any tax avoidance schemes, such as profit shifting to tax havens or low-tax jurisdictions, or using entities lacking economic substance like paper companies.
*This policy has been approved by the Board of Directors of Niterra Co., Ltd.
Promotion System
Tax policies are approved by the Board of Directors, and tax execution is overseen by the Finance Officer. Important matters are reported to the Management Meeting or the Board of Directors as needed. Tax practices are carried out in cooperation with the accounting departments of our group companies. We regularly receive reports from group companies regarding the status and reporting of business operations such as tax filing and payment, as well as financial status including tax matters. We then provide guidance on business operations as appropriate, depending on the case.
Tax Compliance
To ensure proper tax compliance, our group adheres to international tax standards and guidelines published by international organizations such as the OECD, and each of our business locations files timely and appropriate tax returns and pays taxes in accordance with the tax laws and regulations of each country and region.
Tax planning
We recognize the importance of conducting appropriate and effective tax planning to achieve our business objectives, while fully understanding the social significance of paying taxes. Based on the intent behind the enactment of laws and regulations, we are working to maximize consolidated cash flow by eliminating double taxation and effectively utilizing preferential tax treatments.
Tax risks
We conduct thorough prior consideration of tax risks in our business activities. We seek advice and guidance from tax professionals as needed.
Relationship with tax authorities
Our group is committed to building and maintaining good relationships with tax authorities in each country by dealing with them in good faith and in an appropriate manner. When differences of opinion arise with the authorities, we respond sincerely and work to resolve them.