This eighteenth edition of the Japan Master Tax Guide (2020/2021) has been updated to reflect the legislation promulgated through 30 April 2020.
Law to Partially Revise the Income Tax Law, etc, Law No 8 of 2020, 31 March 2020 (generally effective from 1 April 2020 with other effective dates for some provisions).
Law for Extraordinary Exceptions to the National Tax Law to Address the Impact of New Coronavirus Infections, etc, Law No 25 of 2020, 30 April 2020 (effective 30 April 2020)\
Legislative items that have not been approved by the Diet are identified in the text of this edition of the Japan Master Tax Guide as proposed legislation.
- Latest updated tax rates, forms and figures
- The introduction of the group aggregation system for tax purposes. (There is quite a lot of detail here, including a useful comparison with the previous consolidated system)
- Coverage on the emergency measures in response to COVID-19, such as various extensions of deadlines, certain exemptions, relaxation of various rules, and carry back of losses.
- 2020 revision of valuation of securities, based on the ASBJ Statement No. 30 Accounting Standard for Fair Value Measurement (Important for accounting for investments)
- Changes to the taxable purchase of buildings used for residential leasing treatment
- Information on disallowed foreign taxes
- Additional information on tax credit for promoting employment
- Clarification on the time limits for corrections of taxes
- Information on new incentives available for promoting open innovation effective 1 April 2020
- The extension on due dates for declaration of property acquired by inheritance