Monday, 31 July 2017

Japan’s CFC rules tightened in line with BEPS action 3

The 2017 tax reform enacted by Japan’s National Diet on 27 March 2017 makes fundamental changes to the country’s controlled foreign company (CFC) rules (for prior coverage of the reform, see World Tax Advisor, 28 April 2017). The changes generally were made in light of the OECD’s final report on action 3 of the BEPS project and to address aspects of the existing rules that potentially lead to the under- or over-inclusion of income. The new rules will become effective for accounting years of a foreign related company that begin on or after 1 April 2018.

Source & more info: Deloitte