Tax, Regulatory and Political Instability Risks in Overseas Operations
First written in FY2020. 1 of 5 entries say "Restated". Latest entry: FY2026.
The whole theme swung hardest in 2025: 47 of 94 companies on the "Worse" side.
- FY2026MaterialisedAnnual report
「Following a tax audit by the Tokyo Regional Taxation Bureau, we received administrative guidance and other measures under the transfer pricing rules concerning transactions with our consolidated U.S. subsidiary. Accordingly, we recorded ¥181.993 million, including additional taxes and delinquent taxes, as "corporate income taxes for prior periods."」
The tax risk associated with overseas operations materialised as administrative guidance concerning transactions with the US subsidiary and the recording of ¥181 million in additional taxes and other amounts. - 2026-05-13First statedRevision of earnings forecasts
「Following a tax audit by the Tokyo Regional Taxation Bureau, we received administrative guidance and other measures under the transfer pricing rules concerning transactions with our consolidated U.S. subsidiary. Accordingly, we recorded ¥181.993 million, including additional taxes and delinquent taxes, as "corporate income taxes for prior periods."」
The filing newly records administrative guidance and other measures under the transfer pricing rules, together with ¥181 million in additional taxes and other amounts, as corporate income taxes for prior periods. - FY2025WorsenedAnnual report
「Our overseas businesses face risks associated with overseas operations, including unexpected changes in the tax systems and laws and regulations of each country, unexpected results in negotiations concerning transfer pricing and advance pricing agreement applications, changes in approval and licensing policies and subsidy policies of governments in each country, sharp fluctuations in exchange rates, and political instability in each country.」
Sharp exchange-rate fluctuations have been expressly added to the overseas business risks, which are organised together with taxation, laws and regulations, political instability and other risks. - FY2022RestatedAnnual report
「Our overseas businesses face risks associated with overseas operations, including unexpected changes in the tax systems and laws and regulations of each country, unexpected results in negotiations concerning transfer pricing and advance pricing agreement applications, changes in approval and licensing policies and subsidy policies of governments in each country, and political instability in each country.」
The risks associated with taxation, laws and regulations, transfer pricing, approvals and licences, subsidy policies and political instability in overseas operations continue. - FY2020First statedAnnual report
「Our overseas businesses face risks associated with overseas operations, including unexpected changes in the tax systems and laws and regulations of each country, unexpected results in negotiations concerning transfer pricing and advance pricing agreement applications, changes in approval and licensing policies and subsidy policies of governments in each country, and political instability in each country.」
The risks associated with overseas operations, including taxation, laws and regulations, transfer pricing, approvals and licences, subsidy policies and political instability, have been organised as a separate item for the first time.