Withholding tax reassessment litigation involving a Bolivian subsidiary
First written in FY2016. 3 of 4 entries say "Materialised", first in FY2016. Latest entry: FY2017.
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- FY2017MitigatedAnnual report
「On 4 July 2016, amended tax legislation providing for measures including reductions in delinquent interest and penalties was promulgated in Bolivia. Following consideration with local experts, we withdrew the case in order to apply the amended tax legislation. As a result, in the fiscal year, we recognized a loss of approximately US$106 million (¥10,886 million), representing the reassessed tax amount, under “Other income (loss)” in the consolidated statement of comprehensive income, and paid the same amount.」
The Bolivian withholding tax matter was withdrawn, and approximately US$106 million was recognized as a loss and paid. - FY2017-Q2MaterialisedAnnual report
「Following consideration with local experts, we applied to the Supreme Court to withdraw the case in order to apply the amended tax legislation. As a result, for the cumulative second quarter, we recognized a loss of approximately US$106 million (¥10,886 million), representing the reassessed tax amount, under “Other income (loss)” in the condensed quarterly consolidated statement of comprehensive income, and paid the same amount.」
In the Bolivian withholding tax matter, a loss of approximately US$106 million was recognized and the same amount was paid in connection with the application of the amended tax legislation. The application to withdraw the case remains pending. - FY2017-Q1MaterialisedAnnual report
「On 4 July 2016, amended tax legislation providing for measures including reductions in delinquent interest and penalties was promulgated in Bolivia. Following consideration with local experts, we applied to the Supreme Court to withdraw the case in order to apply the amended tax legislation. As a result, in the first quarter we recognized a loss of approximately US$105 million (¥10,828 million) under “Other income (loss)” in the condensed quarterly consolidated statement of comprehensive income, representing the expected reassessed tax amount.」
In the Bolivian withholding tax litigation, a loss of approximately US$105 million was recognized in connection with the application of the amended tax legislation and the application to withdraw the case. - FY2016MaterialisedAnnual report
「The subsidiary appealed to the Supreme Court against the second-instance decision of the administrative tax tribunal ordering payment of the reassessed tax and other amounts, approximately US$185 million, and has provided the required physical assets as collateral in accordance with the procedures prescribed by the laws and regulations of Bolivia.」
The Supreme Court justice assigned to the case was determined on 21 March 2016, but no judgment had been received as of 17 June 2016.