OSAKA (Jiji Press) — The Osaka Regional Taxation Bureau has found that Kyocera Corp. failed to declare about ¥1.4 billion in taxable income, informed sources said Wednesday.
The Kyoto-based electronic parts maker has paid about ¥300 million in back taxes, the sources said.
According to the sources, Kyocera did not follow the so-called tax haven taxation rule and declare the income of a subsidiary in Singapore together with that of the parent company. The rule is designed to prevent companies from transferring income to countries and areas where lower tax rates are applied and cutting tax payments in Japan.
The taxation rule allows exceptions if foreign companies maintain facilities to conduct primary business operations, but the taxation bureau apparently concluded that the Kyocera subsidiary did not meet the conditions.
Kyocera said it has filed an amended income declaration in line with the instruction of the taxation bureau