Response to Accounting Standards and Tax Law Amendments (Deferred Tax Assets and Depreciation Methods)
First written in FY2017-Q3. 8 of 16 entries say "Restated". Latest entry: FY2026.
2 other companies' latest entry also says "Advanced".
- FY2026AdvancedAnnual report
「The “Accounting Standard for Leases” and the “Implementation Guidance on Accounting Standard for Leases” … are scheduled to be applied from the beginning of the consolidated fiscal year beginning on or after 1 April 2027.」
Following the responses to revenue recognition and fair value measurement, the company disclosed the scheduled application of the lease accounting standard and the accounting standard for subsequent events from fiscal years beginning on or after 1 April 2027. The impact is still being assessed. - FY2023-Q3RestatedAnnual report
「The Fair Value Measurement Accounting Guidance (ASBJ Guidance No. 31, 17 June 2021) was applied from the beginning of the first quarter of the consolidated fiscal year. In accordance with the transitional treatment prescribed in paragraph 27-2 of the Fair Value Measurement Accounting Guidance, the new accounting policies prescribed by the guidance will be applied prospectively. This has no impact on the quarterly consolidated financial statements.」
For the implementation guidance on the fair value measurement accounting standard applied from the beginning of the first quarter of the current consolidated fiscal year, the explanation that application continued and there was no impact on the financial statements was reiterated in the third quarter. - FY2023-Q2RestatedAnnual report
「The Fair Value Measurement Accounting Guidance (ASBJ Guidance No. 31, 17 June 2021) was applied from the beginning of the first quarter of the consolidated fiscal year. In accordance with the transitional treatment prescribed in paragraph 27-2 of the Fair Value Measurement Accounting Guidance, the new accounting policies prescribed by the guidance will be applied prospectively. This has no impact on the quarterly consolidated financial statements.」
For the implementation guidance on the fair value measurement accounting standard applied from the beginning of the first quarter of the current consolidated fiscal year, the explanation that application continued and there was no impact was reiterated in the second quarter. - FY2023-Q1AdvancedAnnual report
「The Implementation Guidance on Accounting Standard for Fair Value Measurement (ASBJ Guidance No. 31, 17 June 2021; hereinafter, the “Fair Value Measurement Accounting Guidance”) has been applied from the beginning of the first quarter of the current consolidated fiscal year. In accordance with the transitional treatment prescribed in paragraph 27-2 of the Fair Value Measurement Accounting Guidance, the new accounting policies prescribed by the guidance will be applied prospectively. This has no impact on the quarterly consolidated financial statements.」
The implementation guidance on the fair value measurement accounting standard was actually applied from the beginning of the first quarter of the current consolidated fiscal year. The disclosure states that it had no impact on the quarterly consolidated financial statements. - FY2022RestatedAnnual report
「The “Accounting Standard for Revenue Recognition” and other standards have been applied from the beginning of the current consolidated fiscal year, and the method of recognizing revenue for construction contracts and other contracts has been changed to recognition over a specified period.」
The company continued to disclose the application of the Revenue Recognition Standard from the beginning of FY2022 and the recognition method for construction contracts and other contracts. Net sales from completed construction increased by ¥208 million, operating income by ¥8 million, and ordinary income by ¥21 million. - FY2022-Q3RestatedAnnual report
「As a result, for the first nine months of the current consolidated fiscal year, net sales from completed construction increased by ¥1,882 million, cost of completed construction increased by ¥1,649 million, gross profit on completed construction and operating income each increased by ¥232 million, and ordinary income and income before income taxes and other adjustments each increased by ¥246 million.」
For the Revenue Recognition Standard applied from the beginning of the first quarter, recognition of revenue over a specified period continued, and the impact on the first nine months of the current fiscal year was updated. The fair value measurement accounting standard was also applied, but the disclosure states that it had no impact on the quarterly consolidated financial statements. - FY2022-Q2RestatedAnnual report
「As a result, for the first six months of the current consolidated fiscal year, net sales from completed construction increased by ¥727 million, cost of completed construction increased by ¥622 million, gross profit on completed construction and operating income each increased by ¥105 million, and ordinary income and income before income taxes and other adjustments each increased by ¥119 million.」
For the Revenue Recognition Standard applied from the beginning of the first quarter, recognition of revenue over a specified period continued for construction contracts and maintenance contracts, and other contracts, with the specific impact on the first six months of the current fiscal year disclosed. - FY2022-Q1AdvancedAnnual report
「The “Accounting Standard for Revenue Recognition” (Accounting Standard No. 29, 31 March 2020; hereinafter, the “Revenue Recognition Standard”) and other standards have been applied from the beginning of the first quarter of the current consolidated fiscal year. Revenue is recognized when control of the promised goods or services is transferred to the customer, at the amount expected to be received in exchange for those goods or services. As a result of examining the identification and satisfaction of performance obligations, the method of recognizing revenue for construction contracts and other contracts has been changed. Previously, the percentage-of-completion method was applied to construction for which the certainty of results was recognized for the portion completed, while the completed-contract method was applied to other construction. Revenue is now recognized over a specified period.」
The Revenue Recognition Standard and other standards were actually applied from the beginning of the first quarter, and the revenue recognition method for construction contracts and other contracts was changed. As a result of the application, net sales from completed construction increased by ¥747 million, operating income by ¥136 million, and ordinary income by ¥149 million. - FY2021AdvancedAnnual report
「We applied the Accounting Standard for Disclosure of Accounting Estimates to the consolidated financial statements for the fiscal year-end and included notes on significant accounting estimates.」
In addition to disclosing the scheduled application of standards not yet applied, the company actually applied the disclosure standard for accounting estimates from the end of FY2021 and disclosed the progress of construction under the percentage-of-completion method and the valuation of goodwill and customer-related assets as significant estimates. - FY2020ReframedAnnual report
「The “Accounting Standard for Revenue Recognition” and the “Implementation Guidance on Accounting Standard for Revenue Recognition” are scheduled to be applied from the beginning of the consolidated fiscal year beginning on or after 1 April 2021.」
In addition to addressing the previous tax-effect accounting standards and other matters, the company disclosed the scheduled application dates for new accounting standards on revenue recognition, fair value measurement and disclosures of accounting estimates, and stated that it was examining their impact. - FY2019-Q3RestatedAnnual report
「The “Partial Amendments to Accounting Standard for Tax Effect Accounting” (Accounting Standard No. 28, 16 February 2018) and other standards have been applied from the beginning of the first quarter of the current consolidated fiscal year. The financial position is compared and analyzed against the previous consolidated fiscal year using figures after retrospective application of the standards.」
For the accounting standard for tax effect accounting applied from the beginning of the first quarter of the current consolidated fiscal year, comparisons and analysis in the third quarter also continued to use figures after retrospective application. - FY2019-Q2RestatedAnnual report
「The “Partial Amendments to Accounting Standard for Tax Effect Accounting” (Accounting Standard No. 28, 16 February 2018) and other standards have been applied from the beginning of the first quarter of the current consolidated fiscal year. The financial position is compared and analyzed against the previous consolidated fiscal year using figures after retrospective application of the standards.」
For the accounting standard for tax effect accounting applied from the beginning of the first quarter of the current consolidated fiscal year, comparisons and analysis in the second quarter also continued to use figures after retrospective application. - FY2019-Q1AdvancedAnnual report
「The “Partial Amendments to Accounting Standard for Tax Effect Accounting” (Accounting Standard No. 28, 16 February 2018) and other standards have been applied from the beginning of the first quarter of the current consolidated fiscal year. The financial position is compared and analyzed against the previous consolidated fiscal year using figures after retrospective application of the standards.」
The partial amendments to the accounting standard for tax effect accounting were applied from the beginning of the first quarter of the current consolidated fiscal year, and comparative figures were disclosed after retrospective application. - FY2018-Q3Disclosure of the impact of U.S. tax reformAnnual report
「The Tax Cuts and Jobs Act of 2017 was enacted in the United States in December 2017, reducing the applicable U.S. federal corporate tax rate from 35% to 21% from fiscal 2018. The consolidated subsidiaries located in the United States applied the tax rate before the change during the first nine months of the current consolidated fiscal year and will apply the new tax rate from the end of the current consolidated fiscal year. If the new tax rate had been applied during the first nine months of the current consolidated fiscal year, deferred tax assets (current assets) would have decreased by ¥98 million, deferred tax assets (investments and other assets) by ¥512 million, and the foreign currency translation adjustment account by ¥7 million, while income taxes—deferred would have increased by ¥603 million, compared with applying the rate before the change.」
The company disclosed its policy of applying the new U.S. federal corporate tax rate from the end of the current consolidated fiscal year following the tax reform reducing the rate from 35% to 21%, together with the impact on deferred tax assets and other items. - FY2017RestatedAnnual report
「Following amendments to the Corporation Tax Act, the Company applied the Practical Solution on Change in Depreciation Method Related to the 2016 Tax Reform (Practical Solution Report No. 32, 17 June 2016) during the current consolidated fiscal year and changed the depreciation method for building fixtures and structures acquired on or after 1 April 2016 from the declining-balance method to the straight-line method.」
The Recoverability Guidance for deferred tax assets and the change in depreciation methods continued to be applied for the full fiscal year. The disclosure states that the impact on results was immaterial. - FY2017-Q3First statedAnnual report
「The “Guidance on Recoverability of Deferred Tax Assets” (Accounting Standards Implementation Guidance No. 26, 28 March 2016; hereinafter, the “Recoverability Guidance”) was applied from the beginning of the first quarter of the current consolidated fiscal year, and certain accounting treatments relating to the recoverability of deferred tax assets were revised. As a result, at the beginning of the first quarter of the current consolidated fiscal year, deferred tax assets (investments and other assets) increased by ¥12 million, retained earnings increased by ¥11 million, and non-controlling interests increased by ¥0 million. Following amendments to the Corporation Tax Act, the “Practical Solution on Changes in Depreciation Methods Related to the 2016 Tax Reform” (Practical Response Report No. 32, 17 June 2016) was applied during the first quarter of the current consolidated fiscal year, and the depreciation method for building fixtures and structures acquired on or after 1 April 2016 was changed from the declining-balance method to the straight-line method.」
The Recoverability Guidance for deferred tax assets was applied from the first quarter, and the increases in deferred tax assets and other items were disclosed. In response to tax-law amendments, the depreciation method for building fixtures and structures was changed from the declining-balance method to the straight-line method.