Application of tax-effect accounting following the transition to the group tax-sharing system

「The company and its domestic consolidated subsidiaries are transitioning from the consolidated taxation system to the group relief system from the first quarter of the current consolidated fiscal year.」

「The Company and certain domestic consolidated subsidiaries will transition from the consolidated taxation system to the group tax sharing system from the next consolidated fiscal year.」

「The company and certain domestic consolidated subsidiaries have applied the treatment under Paragraph 3 of Practical Solution Report No. 39, "Accounting and Disclosure under the Transition from the Consolidated Taxation System to the Group Tax Sharing System" (31 March 2020). Accordingly, for items relating to the transition to the group tax sharing system established under the Act Partially Amending the Income Tax Act and Other Acts (Act No. 8 of 2020), and for items revised in connection with that transition, the requirements of Paragraph 44 of the Guidance on Accounting Standards for Tax Effect Accounting have not been applied. Deferred tax assets and deferred tax liabilities have instead been measured under the provisions of the tax laws before amendment.」