Higher Tax Burden as Tax Loss Carryforwards Are Utilized
First written in FY2021. 1 of 2 entries say "Materialised", first in FY2023. Latest entry: FY2023.
Muromachi Chemicals moved to the "Worse" side of this theme in 2023, 1 year before the typical company in this theme (2024).
The whole theme swung hardest in 2026: 28 of 56 companies on the "Worse" side.
5 other companies' latest entry also says "Materialised".
- FY2023MaterialisedAnnual report
「Net income was ¥256.302 million, down ¥199.970 million, or 43.8%, from the same period of the previous year. Adjustments to corporate taxes and other taxes increased due to the utilisation of tax loss carryforwards.」
The increase in adjustments to corporate taxes and other taxes due to the utilisation of tax loss carryforwards emerged as a factor behind the decline in net income. - FY2021First statedAnnual report
「If our tax loss carryforwards are utilised as a result of our business performing well, the amounts of corporate tax, local inhabitant tax and enterprise tax will increase, which could affect our operating results and cash flows.」
The company identifies a higher tax burden if tax loss carryforwards arising from the past absorption merger of a subsidiary are utilised.