Japan: 2023 tax reform proposals enacted

Tax reform proposals for 2023 passed by the National Diet

Tax reform proposals for 2023 passed by the National Diet

The tax reform proposals for 2023—agreed to by the ruling governing coalition on 16 December 2022 (read TaxNewsFlash)—were passed by the National Diet on 28 March 2023. 

The tax measures in the 2023 tax reform bill include:

  • Corporate tax
    • Tax credits for research and development (R&D) costs
    • Special measures for promoting open innovation
    • Special measures for promoting investment in digital transformation
    • Rules for spin-off transactions
  • International tax
    • Global anti-base erosion (GloBE) income inclusion rule
    • Controlled foreign company (CFC) regime
  • Fair tax burden on extremely high-level income
  • Electronic preservation system for account books, etc.

Read an April 2023 report [PDF 213 KB] prepared by the KPMG member firm in Japan

 

 

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