Japanese Government Intends to Exempt New Businesses Established in Tōhoku Disaster Recovery Area from Corporate Tax for Five Years

Japanese Government Intends to Exempt New Businesses Established in Tōhoku Disaster Recovery Area from Corporate Tax for Five Years
Yomiuri Shimbun: 復興特区の新設企業、法人税5年間実質ゼロに
October 8, 2011

On the 8th, the government announced that as part of its response to the Great Tōhoku Earthquake, it intends to give preferential tax and regulatory treatment to new businesses established in the Special Recovery Zone, including a 5-year exemption from the corporate tax.

The government plans to determine these changes at the Government Tax Committee meeting beginning on the 11th.

The new preferential treatment is aimed at new businesses established in the Special Recovery Zone. For the first five years, its income will be considered a “Reinvestment Reserve Fund” (tentative name); as such, it would not be eligible for the corporate tax. The purpose is for businesses to reinvest these funds in the area by building factories and the like so that business investments can be entirely redeemed by those communities.

Conditions will be set in order to protect against misuse of the system; for example, companies would have to employ at least 5 disaster victims and spend at least 10 million yen per year on personnel. The government is assuming that big businesses will establish new subsidiaries in the area to advance factory construction there.

National Policy Minister Furukawa, who is currently visiting the United States, spoke at New York’s Columbia University on the 7th; he said of the Special Recovery Area, “We’re thinking of taking unprecedented measures which haven’t even been tried by other countries, like exempting new businesses from the corporate tax for five years.”

Original/原稿:
復興特区の新設企業、法人税5年間実質ゼロに

 政府は8日、東日本大震災の復興対策として、規制や税制などを優遇する復興特別区域(復興特区)で、法人税を5年間にわたり実質ゼロにする新たな措置を導入する方針を固めた。

 11日に開く政府税制調査会で決定する方向だ。

 新たな優遇措置は、特区内に新設された企業を対象とする。所得を5年の間「再投資等準備金(仮称)」として積み立てる形をとることで、所得をゼロとみて法人税がかからないようにする。6年目以降は、積み立てた準備金で工場を建てるなど特区内に投資すれば、全額を一括償却できるようにする。当初5年間と6年目以降で二重の節税効果を持たせ、特区への投資を強く促す。

 一方、制度の悪用を防ぐため、被災者を5人以上雇用することや、人件費を総額1000万円以上払う、などの条件を付ける。政府は、大企業が新規子会社を作って工場進出する活用法などを想定している。

 訪米中の古川国家戦略相は7日、ニューヨークで講演し、復興特区に関して「企業が新規に立地したら5年間は法人税を免除するなど、前例のない、他国にも引けを取らない措置を考えている」と述べた。
(2011年10月8日12時03分 読売新聞)

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